The Fear Gauge Is Sounding an Alarm Even as U.S. Stocks Surge
- Cboe Volatility Index is up over the past three sessions
- It’s unusual for VIX to stay high while stocks rally
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Remain vigilant. That’s the apparent message the Cboe Volatility Index is flashing, even as cash equities race toward records.
The VIX Index -- often referred to as the market’s “fear gauge” -- is up over the past three sessions, as of 1:40 pm. in New York. At north of 16, it’s implying that U.S. stocks will tend to move more than 1% per day over the next month. In recent years, it hasn’t lingered above this level unless equities were weakening.