Cooling off: Fear gauge hits 3-year low on missing macroeconomic cues

No big upmove or downmove likely, say market watchers

The India VIX Index — a gauge for market volatility — on Tuesday finished at its lowest level in more than three years. The index finished at 11.52 — the lowest since January 2, 2020. The VIX has been falling steadily after climbing to nearly 18 in January.

Also known as the fear gauge, the index is calculated by the National Stock Exchange (NSE) to measure market anticipation of volatility and fluctuations in the near term.

The current reading, indicates that trades are not expecting a big upmove or downmove in the markets due to lack of big macroeconomic (macro)