Tech Bias Has Nasdaq VIX at 6-Month High Over S&P Fear Gauge
- Ratio of the two VIX indexes is 16% above bull market average
- Tech shares hit harder than broader market in recent selloffs
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To see how fast sentiment soured on last year’s momentum winners, look at the options market, where the price of insuring technology stocks against losses is holding stubbornly high versus other industries.
A Chicago Board Options Exchange gauge tracking costs of hedging in the Nasdaq 100 Index is the highest since August versus a similar measure for the Standard & Poor’s 500 Index, according to data compiled by Bloomberg. The ratio of the two gauges sits 11 percent above its seven-year average and is hovering at a level has reached only two other times since the start of the bull market.