No Calm in Sight as Volatility Surges From Stocks to Bonds
- Bank of America's Market Risk index jumping this year
- Traders grappling with Fed worries on top of growth concerns
Market Turmoil: Are Investors Overreacting?
This article is for subscribers only.
The rout that swept through asset classes, taking oil below $30 a barrel and European and Asian stocks into bear markets, is pushing up gauges of investor stress around the world.
Bank of America Merrill Lynch Market Risk index, a gauge tracking volatility expectations for equities, bonds, currencies and commodities, has jumped to its highest level since October. Global stocks have already lost more than $15.6 trillion since June -- about half the gains from a four-year rally -- and the yield on 10-year Treasuries fell below 2 percent. The Bloomberg Dollar Spot Index reached a record high, while the Bloomberg Commodity Index hit its lowest ever.