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SPX Spot-Vol Beta: 1.06
This gauge measures how implied volatility (via the VIX) is reacting relative to the S&P 500’s price move. A reading of 1.06 suggests volatility is overreacting, meaning options traders are bidding up protection more aggressively than the underlying price move would justify. This points to elevated demand for hedging and a more defensive positioning backdrop.
Spot-vol beta reflects how much volatility is over- or under-reacting to changes in the S&P 500’s spot price.
Source:
#OOTT | Sustained Higher Oil Prices Would Add To Cross-Sector Credit Pressure – @FitchRatings
- Oil Prices Could Average $120/Bbl If Hormuz Closed For 6 Months
“President Trump went to war against Iran without explaining his strategy to the American people or the world. It now appears that he may not have had much of a strategy at all,” per NYT