Single Stock Volatility Jumps To A Record Vs. The VIX Index

Implied volatilities declined across macro assets last week as markets priced in hopes of a US-Iran peace deal. Oil fell to a 1-month low, while bond yields declined on better-than-expected inflation data. The combination points to softer geopolitical risk premia and a modestly calmer macro backdrop.

Analysis

Implied volatilities declined across macro assets last week as markets priced in hopes of a US-Iran peace deal. Oil fell to a 1-month low, while bond yields declined on better-than-expected inflation data. The combination points to softer geopolitical risk premia and a modestly calmer macro backdrop.