Wall Street Fear Gauge Plummets as U.S. and China Slash Tariffs

Wall Street Fear Gauge Plummets arsenic U.S. and China Slash Tariffs

Investors were feeling a batch calmer connected Monday aft the U.S. and China brokered a woody to slash tariffs connected each other's goods for the adjacent 90 days.

The Cboe Volatility Index, which tracks S&P 500 options contracts and trades nether the ticker VIX, tumbled 9.6% to 19.79 successful aboriginal trading. It's the archetypal clip since precocious March that the widely-followed fearfulness gauge has dropped beneath 20.

The VIX was tumbling aft Washington said it would little its "reciprocal" tariffs connected astir Chinese goods to 10% from 125%. The abstracted 20% tariff that the Trump medication imposed implicit what it calls the fentanyl commercialized volition stay successful place. Beijing said it would chopped its retaliatory levies connected U.S. goods to 10% from 125%.