Although the month of July has seen a 8.6% rise in the Volatility Index to 12.56, it remains down 8.5% for this year.?
However some foresee an increase in volatility on the horizon.
Walter Todd, chief investment officer for Greenwood Capital Associates LLC, said in a phone call with Bloomberg, “It wouldn’t surprise me at all if volatility picked up.? I still get the sense that investors haven’t really bought into the move” in stocks.
In addition, world events have had a powerful effect on the VIX.? On July 17th, the news of the Malaysian jet crash and ground forces entering the Gaza Strip caused the VIX to jump 32% to 14.54, a 3 month high.
Also of interest is the upcoming release of the U.S. nonfarm payrolls, GDP and the FOMC.
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