According to CIBC (CM.TO, CM), markets have had a "fairly even run" in recent months, with the VIX retesting post recession lows a week or two ago. It says realized Treasury volatility has also fallen to four year lows.
CIBC notes markets experienced a "choppier ride" in the year before the Fed shifted policy gears in the mid 2000s. It also notes the Fed's tapering announcement "jolted" emerging and risk markets a year ago. It says: "With central banks in some jurisdictions, including the U.S., preparing to take further steps towards policy normalization, the ride may not be quite as smooth as in the last few months."
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
