Several major gauges of fear in the market are reflecting increased alarm from investors. The Cboe Volatility Index , a measure of anticipated market instability that’s known as Wall Street’s “fear gauge,” topped 19 on Monday and closed at its highest level since October. It neared the key level of 20 in late fall of 2023 and at other times during the pandemic when traders were wary of an equity correction. @VX.1 1Y mountain The VIX over the past year At the same time, CNN’s Fear and Greed Index has tipped into “fear” territory this week. The market mood tracker sat in the “neutral” zone one week prior, but was comfortably in the “greed” range both a month and a year prior. The index, which compiles seven different measures including put-and-call options and junk bond demand, has five labels ranging from “extreme greed” to “extreme fear.” When it tips below an average score of 50 as it has in recent days, it can be taken as a sign of investors growing nervous. And the so-called Panic Index from Goldman Sachs’ trading desk has climbed to levels not seen since early 2023. Before that, it touched this point during 2022’s market sell-off. Taken together, these data points underscore mounting skittishness among market participants. This comes amid a brea …
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[mwai_chat context=”Let’s have a discussion about this article:nnSeveral major gauges of fear in the market are reflecting increased alarm from investors. The Cboe Volatility Index , a measure of anticipated market instability that’s known as Wall Street’s “fear gauge,” topped 19 on Monday and closed at its highest level since October. It neared the key level of 20 in late fall of 2023 and at other times during the pandemic when traders were wary of an equity correction. @VX.1 1Y mountain The VIX over the past year At the same time, CNN’s Fear and Greed Index has tipped into “fear” territory this week. The market mood tracker sat in the “neutral” zone one week prior, but was comfortably in the “greed” range both a month and a year prior. The index, which compiles seven different measures including put-and-call options and junk bond demand, has five labels ranging from “extreme greed” to “extreme fear.” When it tips below an average score of 50 as it has in recent days, it can be taken as a sign of investors growing nervous. And the so-called Panic Index from Goldman Sachs’ trading desk has climbed to levels not seen since early 2023. Before that, it touched this point during 2022’s market sell-off. Taken together, these data points underscore mounting skittishness among market participants. This comes amid a brea …nnDiscussion:nn” ai_name=”RocketNews AI: ” start_sentence=”Can I tell you more about this article?” text_input_placeholder=”Type ‘Yes'”]
