Volatility – VIX Level

Volatilty – VIX Level Goldman Sachs predicts that a 1 standard deviation economic shock could potentially cause the VIX to skyrocket to 28, reflecting a substantial increase in volatility, based on their economic model of volatility. Image: Goldman Sachs Global Investment Research

Volatility Divergence – VIX vs. MOVE

Volatility Divergence – VIX vs. MOVE The divergence between VIX and MOVE presents unique challenges and opportunities for market participants, reflecting different expectations and perceptions of risk in the equity and bond markets. Image: BofA Global Research

VIX – Volatility Index

VIX – Volatility Index While a low VIX may signal a relatively stable market environment, it can also indicate complacency or a lack of concern among market participants regarding potential risks. Image: BofA Global Research

Sentiment/VIX Composite vs. S&P 500

Sentiment/VIX Composite vs. S&P 500 In the past, there has been a consistent pattern where high levels of optimism among retail investors in the financial markets, along with low volatility, have often signaled short-term peaks in the market. Image: Real Investment Advice

Sentiment/VIX Composite vs. Fed Funds

Sentiment/VIX Composite vs. Fed Funds During a rate hiking campaign, bullish sentiment tends to increase initially, but ultimately ends badly. Image: Real Investment Advice

VIX vs. S&P 500

VIX vs. S&P 500 Corrections and short-term market peaks often coincide with exceptionally low levels of market volatility. Image: Real Investment Advice

Volatility – VIX

Volatility – VIX Volatility remains low, typically indicative of bull markets, during which stock prices tend to experience steady increases with fewer significant price fluctuations. Image: Goldman Sachs Global Investment Research

Fed Funds vs. VIX

Fed Funds vs. VIX Given the lag effect of Fed rate hikes on the U.S. economy, should investors expect the VIX to rise in the near future? Image: Deutsche Bank

VIX and Geopolitical Risk Index

VIX and Geopolitical Risk Index The VIX tends to be sensitive to geopolitical events and can serve as an indicator of market sentiment during times of heightened geopolitical risk. Image: Goldman Sachs Global Investment Research