VIX, stock market fear gauge, jumps as US stocks fall on SVB concerns

Published: March 10, 2023 at 14:48 ET

The CBOE volatility index, known as Wall Street’s fear gauge, has risen as U.S. stocks sell off amid investor anxiety about Silicon Valley Bank and its parent SVB Financial Group. The index, VIX known by its ticker VIX, was up more than 19% around 27 on Friday afternoon, according to FactSet data, at last check. That compares with its long-term average of about 20. The VIX had risen about 18% to 22.6 on Thursday, the day shares of SVB Financial SIVB fell. On Friday, California regulators shut down Silicon Valley Bank, with the Federal Deposit Insurance Corp. designated as recipient. Shares in the banking sector…

The CBOE volatility index, known as Wall Street’s fear gauge, has risen as U.S. stocks sell off amid investor anxiety about Silicon Valley Bank and its parent SVB Financial Group. the index,

VIX

known by its ticker VIX, rose more than 19% around 27 Friday afternoon, according to FactSet data, at last check. That compares with its long-term average of about 20. The VIX was up about 18% to 22.6 on Thursday, the day SVB Financial’s shares.

SIVB

was crashing. On Friday, California regulators shut down Silicon Valley Bank, with the Federal Deposit Insurance Corp. designated as recipient. Banking stocks fell on Friday on fears of a breakdown in the financial system with shares of the SPDR S&P Regional Banking ETF

CABINET

down about 6% Friday afternoon, according to FactSet data, at last check. Meanwhile, the S&P 500

SPX

traded down 1.2%, while the Dow Jones Industrial Average

DJIA

fell 0.8% and the technology-heavy Nasdaq Composite

COMP

decreased 1.7%. The VIX is up more than 45% so far this week, FactSet data showed at last check.

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