Displaying items by tag: vix
Strong Dollar, Stronger Volatility
Stocks had one of their worst days in months as the market fell off 2% and sent volatility measures such as the VIX spiking. Wallstreet’s ‘fear gauge’ was up nearly 4% as a result. This all happens as the dollar is reaching very strong levels and almost parodies the euro. While that might be great for those on a summer vacation in the Mediterranean, it's bad news for investors, because it reflects a more fed tightening, rising treasury rates, and inflation. Investors are concerned about rising volatility once again after it felt like it was behind them. With healthy job numbers and inflation trying to turn a corner, things looked bright and the market felt it, but the reality of a one-off good inflation report is setting in.
Finsum: Advisors need strategies for resilience vs inflation and excess volatility because its persistence seems strong.
Why Volatility Is Here to Stay
September saw the Vix creep to a 4-month high as the S&P 500 blew off 4.8% of its value. Most investors were hoping for a bounce-back month in October, chalking up September’s poor performance to a checkered history for the opening of autumn. However, they are likely to be remiss as volatility indexes are still climbing. The pullback in September was the largest since March of 2020, when the pandemic began.BofA said that while October is generally a well-performing month when it trails a struggling September, October can drag as well. Debt ceiling negotiations, oil price spikes, and Fed tapering are just a few of the onslaught of headlines which are giving the market fits.
FINSUM: While volatility has yet to hit the peaks of September it is already consistently above its 200-day moving average, which could be a sign of even more volatility to come.
Are Millennials Buying the Dip?
(New York)
The stock markets have had some very small slumps but rebounded quickly in the last 12-months. The refusal to…see the full story on Magnifi’s site
Helping Clients Understand Volatility
A little under a month ago the VIX spiked dramatically due to bitcoin reverberations in tech markets and macro inflation trends, and it's trending…see the full story on our partner Positivly’s site
The S&P 500 is Screaming "Buy Now"
January and early February offered some rough times for investors. The two-week meme stock debacle had most investors’ hearts skip a beat...view the full story on our partner Magnifi's site