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Where to Hide as Wall Street’s Fear Gauge Flashes Red

Annie Gilroy
Where to Hide as Wall Street’s Fear Gauge Flashes Red

Last year was particularly calm as volatility plunged to a multi-decade low, but October’s elevated volatility sent equity markets into a tailspin. US–China (FXI) trade tensions, slowing global economic growth, the Fed’s latest rate hike and policy outlook, and the potential government shutdown have been major sources of volatility for US markets lately. Yesterday, the CBOE (Chicago Board Options Exchange) Volatility Index (VIX), the “fear gauge,” hit 28.38—its highest level since February.