Analysis: When the volatility index VIX exceeds 28.7, the S&P 500 often delivers strong returns
BlockBeats News, November 24, KobeissiLetter released a market analysis stating that, according to historical data, when the Volatility Index (VIX) exceeds 28.7 points, the S&P 500 Index tends to deliver strong returns over the following 12 months. When the VIX is between 28.7 and 33.5, the average annual return from 1991 to 2022 was +16%. When the VIX exceeds 33.5, the average 12-month return reached as high as +27%. In comparison, when the VIX fluctuates between 11.3 and 12.0, the S&P 500 Index delivered a +15% return in the following year.
Historical data shows that a rising VIX often creates buying opportunities. The current VIX is 23.42.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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