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What Exactly Happened on Vol Monday?

What Exactly Happened on Vol Monday?

policytensor
Mar 24, 2018
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Policy Tensor
What Exactly Happened on Vol Monday?
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The return of market volatility on Monday, 5 February 2018, was dramatic. The 20 point jump in VIX, a traded measure of expected stock market volatility—best thought of as the price of insurance against a market crash—was the largest daily increase since the 1987 stock market crash.

Daily returns on the VIX and the S&P 500.

A number of leveraged volatilit…

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