Is the VIX fear index signaling enough anxiety to produce a 10% correction?
To subscribe to JAM you need to fill in some details below including, ahem, some info on how you'll pay us. A subscription is $199 (although if you're subscribing with one of our special offers it will be lower) for a year for ongoing and continuing access to the...The volatility of volatility is rising–that’s not a good thing
To subscribe to JAM you need to fill in some details below including, ahem, some info on how you'll pay us. A subscription is $199 (although if you're subscribing with one of our special offers it will be lower) for a year for ongoing and continuing access to the...Stock prices climb but so does the volatility of volatility
As swell as it is to have the U.S. markets moving up again, I think those analysts who have flagged the potential importance of the high volatility of volatility right now deserve attention.
Suddenly everyone wants to buy on the dip again
European stocks rallied on the beginning of asset purchases by the European Central Bank and speculation that the bank would expand its purchases to corporate bonds from the current purchases of covered bonds by December. U.S. stocks are rallying on “good news” that a terrible earnings report and guidance from IBM (IBM) yesterday didn’t tank the market.
It’s back! Volatility that is
Remember that volatility begets volatility. The rapid increase in stock market volatility just about guarantees that volatility will continue to increase over the next few weeks