VIX Higher Than Actual Volatility Is Good News for Stock Bulls
- Spread between implied, realized volatility near 2-month high
- Evidence of hedges in place reinforces bullish trend: Purves
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A volatility measure hovering near the highest in two months is sending a bullish signal for a relentless stock rally defying eye-watering valuations.
Known as the market’s fear gauge, the Cboe Volatility Index is trading some 7 points higher than how much the S&P 500 Index has actually been swinging around for the past 20 days.