Malcolm Graham
All posts from Malcolm Graham
Malcolm Graham in Analytics & more!,

Be afraid — everybody seems to agree on where the stock market is headed


There's definitely a herd mentality in the market right now.

The danger, it seems, is that it feels so obvious. And the obvious, of course, is always a risky proposition in the stock market. But it’s hard to imagine the lack of volatility lingering much longer, especially in the face of ... well, everything. Just how calm has it been? The VIX VIX, +2.59% a gauge of expected stock market volatility, finished below 10 only 26 times from 1990 to 2017, according to Bloomberg data. Since May, we’ve seen 17 of these historically low readings. Unless they’re shorting volatility, it’s tough out there for day traders to scalp profits when the swings are so minimal. Obvious or not, Eric Peters of One River Asset Management, in our call of the day, says there’s, indeed a shift coming. A big one. He explains in a LinkedIn post just how “extraordinary” the current situation is and where we go from here.