VIX INDEX PULLS BACK BUT FX VOLATILITY REMAINS ELEVATED AS US DOLLAR, S&P 500 INDEX SPIKECross-asset volatility measures stay
VIX INDEX PULLS BACK BUT FX VOLATILITY REMAINS ELEVATED AS US DOLLAR, S&P 500 INDEX SPIKE
- Cross-asset volatility measures stay extraordinarily excessive as international markets climate turbulence from the brewing coronavirus pandemic
- The S&P 500 Index jumped 6% and the VIX fell from a near-record excessive as shares rebounded from their current rout amid promise of huge financial and monetary stimulus measures
- FX volatility continues to climb as USD worth motion and the broader US Dollar Index rip larger
A turbulent buying and selling session left the S&P 500 Index 6% larger on Tuesday. Shares rejoiced headlines that crossed the wires alluding to monumental fiscal stimulus plans from the Trump administration. The White Home is reportedly looking for ‘$1 trillion or extra’ in stimulus because the deepening coronavirus pandemic wreaks havoc on the US economic system.
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CHART OF S&P 500 INDEX OVERLAID WITH VIX INDEX
Chart created by @RichDvorakFX with TradingView
Because the inventory market and investor sentiment recovered, the VIX Index, which displays anticipated…