January 25, 2010
Good afternoon. Last week was the worst week in the market since last March, with the SPY down over 4% to close at 109.21. That closing number is also lower than the 111.44 closing number from last year, wiping out all of the early January gains. The VIX was up a dramatic 52% for the week to close at 27.30, and erased a lot of the upward sloping volatility skew we talked about last week.
June 15, 2009
Good morning. Last week the market continued to advance, but at a very reduced rate. The SPY finished the week at 95.08, up from 94.55 or .05%, and is now up 5.3% from the 2008 close of 90.29. Rising commodity prices, especially oil, and a series of economic numbers that are showing generally a decreasing rate of deterioration seem to be fueling the rally.
May 4, 2009
Good morning. A mostly sane and slightly positive week last week, with the SPY up from 86.66 to 87.89, or 1.4%. The relative sanity was reflected in the continuing drop in the VIX, from 36.81 to 35.29, or 4.16%. You would need to go back to last September to find the VIX this low, and again it is an indication that investors are starting to feel (rightly or wrongly) that some positive things are starting to happen and maybe the worst is behind us.