Fundamentals, US Markets
Stocks Rise, Sending VIX To Lowest Since Before Lehman Collapsed
Monday, 29 Jun 2009 8:14 EDT at 20:14 by CFDTrading Analyst · Leave a Comment
US Session Key Developments
- VIX Declines to Lowest Since Before Lehman Collapse
- Bank of America to Sell TALF Debt
Stocks Rise, Sending VIX To Lowest Since Before Lehman Collapsed
Stocks managed to finish the week stronger, sending the VIX volatility index to the lowest level since before the investment bank Lehman Brothers collapsed. Indeed, the so-called “fear gauge”, which measures the implied volatility of the S&P 500 using options contracts, sank to a 9-month low of 25.35. The strong start to the week may be a sign of positive sentiment leading up to the much awaiting labor data being released at the end of the week. Data is expected to reveal an Unemployment Rate shooting up 0.2 percentage points to the highest level in a quarter-decade, to 9.6% for June.
Dow 30 8529.38 +90.99 +1.08%
The Dow saw only one stock decline today, Alcoa, after an analyst at FBR Capital Markets downgraded the aluminum producer’s share value to ‘Underperform.’
SPX 500 927.23 +8.33 +0.91%
Every sector in the 500-stock index finished in the green today with Financials jumping an impressive 1.37%. Bank of America swelled 3.45% after the company said it would be selling its TALF debt.
NAS 100 1844.06 +5.84 +0.32%
Tech stocks traded stronger than that of the broader NASDAQ, moving ahead a slight 0.51% after Microsoft and Office Depot announced a special pre-sale offer to sell Windows 7.
