Wall Street's fear gauge climbs as US-China trade fears rise

Article Summary

• The VIX, often called Wall Street’s “fear gauge,” spiked to its highest level in about five months before slightly easing.
• The surge in volatility reflects rising investor concern over escalating U.S.–China trade tensions.
• Traders increased purchases of protective put options on major indices, signaling heightened hedging activity.
• Despite the spike, the VIX remains below levels typically associated with broader market panic.