On Friday, the VIX dipped its toes below 13 for the first time in 5 1/2 years. It reached 12.29–last seen on May 22, 2007–and then closed down 1.11 points (8.2%) to 12.46.
This was a low last seen on April 27, 2007, wrote Kaitlyn Kiernan of Dow Jones.
Now on Tuesday, more declines ensued.?
With the holiday weekend over, active ?put? options protecting against?SPDR S&P 500 ETF Trust (SPY) declined, falling to 8.9 million on Tuesday. This represented its lowest level since January 2012. Meanwhile, the ETF reached a five-year high.
Kiernan was on the story and had?Randy Frederick, managing director of trading and derivatives at brokerage Charles Schwab Corp shed some light with,??This means people are showing a more bullish perspective and less bearishness overall. There is very little reason to be worried about a decline over the next three months. I see very few near-term catalysts that could lead the market to tilt downward.?