Specialists Robert Tuccillo, center, and Matthew Greiner works at their post on the floor of the New York Stock Exchange, Thursday, Feb. 15, 2018. (AP Photo/Richard Drew)
Your feedback is important to us!
We invite all our readers to share with us their views and comments about this article.
Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.
Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. follow this link to make sure your account meets the requirements. (http://bit.ly/vDisqus)
U.S. stock markets are unlikely to return to the unusually calm conditions seen last year, even though equities have already recovered more than half the ground lost in the recent sell-off and traders have rapidly dialed down fear. Stock market volatility spiked to a multiyear high in the sell-off and some products that flourished in low volatility collapsed. A higher-volatility environment means the 1-percent stock-market swings of the past two weeks will become commonplace, strategists said. The VIX reached a 2-1/2-year high of 50.30 on Feb. 6 .The three years when the VIX logged its highest annual average, 1999, 2003 and 2009, coincided with 20 percent or bigger gains for the S&P 500 .The ProShares Short VIX Short-Term Futures ETF (SVXY.P), which gains as long as volatility declines or stays low, has drawn about $418 million on a net basis since Feb. 6, the day the VIX peaked, according to ETF.com data.
FOLLOW THIS ARTICLE