This week the VIX index closed higher than 20 for the first time since June right before Brexit. The S&P 500 fell nine consecutive days in a row through last Friday, the first time that’s happened since gold and silver broke records in the late seventies and early eighties.
Monday and Tuesday saw generally positive momentum into the markets. Bitcoin, too, has increased in price, much like it did ahead of Brexit.
Over the most recent nine sessions, VIX has increased each time. Early in the day, VIX continued its rise on Tuesday up 6%, but it fell throughout the afternoon leading many analysts to suggest a Ms. Clinton presidential victory. As Wall Street Journal suggests, a Clinton victory could mean a long way to fall for the VIX index.
“Once the election is over, a lot of the uncertainty and fear will go away,” Rocky Fishman, equity derivatives strategist for Deutsche Bank, told WSJ. “People will have a well-defined result by Wednesday.”
The VIX would seem to be suggesting that there will be no Donald Trump presidency, but, rather, Democratic Presidential candidate Hillary Clinton will be named the president-elect after a long and tough journey to the Presidency which saw the Democratic National Convention come under national scrutiny and Ms. Clinton’s use of internet servers drawing much scrutiny by U.S. law enforcement.
By noon Pacific Standard Time, the VIX had dropped more than 4% to 17.92. It dropped massively yesterday, ending the abovementioned nine day rally.
A Bitcoin volatility index, which most recently detected increased BTC volatility in July, in the wake of Brexit, has seen a steady climb in recent days, but the index is still far off its year-to-date highs.