Newsletter
VIX Spike: Complacency’s Bill Coming Due. What Happens Now?
On Monday, we drew the line in the sand. As we wrote in Liquidity Weighed On Gold Trumping Real Yields, a close below 7,490 would make a test of the 200-day moving average more likely. By lunchtime Thursday, the market had blown right through that support level and tested that 200-day average. There is no way to sugarcoat Thursday's sell-off, with the S&P 500 falling 4.4% to 7,353.73, its worst day since the April 2025 tariff crash. The Nasdaq 100 lost 6.4%. For the week, the index fell 2.7% to 7,376.86. That leaves it 5.7% below the October 6 record and up 7.8% for the year.