Dow Dips Over 200 Points, Market Volatility Increases

Dow Dips Over 200 Points, Market Volatility Increases

US stocks closed lower on Monday, as investors digested recent comments from the Federal Reserve officials.

The S&P 500, during the previous week, recorded its biggest weekly percentage surge since late June.

The Nasdaq 100 dropped 0.98% to close at 11,700.94 on Monday, amid gains in shares of Microsoft Corp MSFT and Amazon.com, Inc. AMZN. The S&P 500 fell 0.89%, while the Dow Jones dipped over 211 points to settle at 33,536.70 in the previous session.

Major sectors on the S&P 500 closed on a negative note, with real estate and consumer discretionary stocks recording the biggest plunge on Monday. However, health care stocks, bucked the overall market trend, gaining around 0.1% in the previous session.

The Chicago Board Options Exchange's CBOE Volatility Index (VIX) gained 4.8% to 23.60 points.

What is CBOE Volatility Index?

The CBOE Volatility Index, popularly known as VIX, is a measure of the equity market's expectation of volatility based on S&P 500 index call and put options.

Posted In: CBOE Volatility IndexEarningsNewsPre-Market OutlookMarketsTrading Ideas