India's VIX Drops to Eight-Month Low as Fed Uncertainty Passes
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The benchmark gauge of Indian option costs fell the most in three months as demand for protection against stock swings slumped after the Federal Reserve’s first interest-rate increase in almost a decade.
The India VIX Index declined 15 percent for its lowest close since April 1. The Nifty 50 Index’s December put option with a strike price of 7,500, the most popular put by number of outstanding contracts, plunged 74 percent, data available as of 3:54 p.m. in Mumbai show. The 8,000 call, the largest by open interest, erased intraday losses to climb 31 percent. The underlying stock gauge jumped 1.2 percent to 7,844.35, capping a fourth day of gains.