 "Analysts divided over lower volatility outlook")
On Wednesday, the BSE Sensex soared past the 30,000 level, ending the day at an all-time high of 30,133. And, this rally has been accompanied by near-record low volatility.
India VIX, essentially a fear gauge, closed the day at 11.74, falling from 15.83 at the beginning of the year. The index is a measure of how much volatility investors expect. A low value indicates an optimistic outlook.
What explains this and will it sustain? Analysts are divided. While some suggest the positive sentiment will keep volatility subdued, others are not so sure.
“The low volatility is because the sentiment is
