Nikkei 225 VI rose, and caution over periods of accelerating stock-price gains continued. As of 14:20, Nikkei 225 VI stood at 36.55, up 0.83 from the previous day. It was generally lower in the morning and spent longer periods rising in the afternoon.
Nikkei 225 VI stood at 36.55 as of 14:20, up 0.83 from the previous day, a 2.32% increase. The high and low so far today were 36.55 and 34.15, respectively.
Nikkei 225 futures were firm in the morning, following gains in US equities, but caution over the rapid pace of gains after 3 consecutive days of increases was also evident, and the market turned somewhat weak in the afternoon. As a result, Nikkei VI was generally lower in the morning and spent longer periods rising in the afternoon.
Nikkei 225 VI is an indicator of expected market volatility over the next month and tends to rise sharply when the Nikkei 225 falls steeply. It is generally explained as being inversely correlated with stock prices and tending to revert to a range of around 20–30.
Related observations suggest that movements in the Nikkei 225, US markets and foreign exchange rates could affect volatility going forward.