VIX under 20 isn’t a warning… The stock market valuation indicator I agree with: stocks are a bit over valued right now. But over valued just means we need a correction… not whether it will be a mild or severe one.
What’s more troubling is the market reacting already to nonsense trump comments. From the caption in the linked article:
The latest market sell-off was partly triggered by former President Donald Trump’s comments on Taiwan and tariffs.
Does no one else remember the dumpster fire that was the markets jumping at every comment and policy flip-flop during his four year term? The same volatility indicator (VIX) regularly jumped over 20 after some dumb trade policy comment…