This is the “fear index”: when it's down in the lower range of the chart, it means “not much fear” and that's where things sit. The volatility index remains in the overconfidence phase – or, as it is sometimes called, “risk on environment”. Here is the weekly chart of the Volatility Index:stockcharts.comIt has not been so low, so consistently, in the last few years. One of the 7 that helped push the tech index to highs in July is no longer helping: Tesla. Further declines could begin to dampen enthusiasm about the continuation of the stock market rally.

Source: Forbes December 24, 2023 11:22 UTC