Remember back in the early days of the bull market when a VIX reading below 20 was considered low? Well, for the first time in over two and a half years, the VIX volatility index closed below 11 today. In the history of the VIX going back to 1990, there have only been 70 prior days where the VIX closed below 11. In addition to today’s low reading, we also found it noteworthy that since Donald Trump won the election, the VIX hasn’t closed above 15, which is a streak that’s now at 52 trading days and counting. Who would have ever thought that would be the case?
Since 1990, there have been ten prior periods where the VIX closed below 15 for 50 or more consecutive trading days, and in today’s Chart of the Day sent to Bespoke subscribers, we looked at each prior period where the VIX went 50 or more trading days without closing above 15, and then calculated the S&P 500’s forward returns over the following one, three, six, and twelve months. See today’s Chart of the Day by starting a 14-day free trial to Bespoke’s premium research below.