Vexed Over Vix
The financial media seems to be making much ado these days about an obscure index known as the VIX. At times the VIX even overshadows the venerable S&P 500 from which it is indirectly derived. The media refers to it as the “fear gage” because the VIX is designed to reflect how nervous investors are about the future direction of the stock market. The VIX is essentially a temperature reading, where higher or hotter readings correlate with a more tumultuous, worried market.
