Extreme Volatility May Have Peaked

The market is up modestly this morning. It’s refreshing to see more normal price action today. The big news is that President Trump said the social distancing policies will last through April.

Last week was the best week for the Dow since 1938. Healthcare stocks are particularly strong this morning. Johnson & Johnson said it’s working on a potential vaccine. Abbott Labs said it’s made a five-minute test for Covid-19. The FDA has given them emergency-use authorization.

FactSet (FDS) is up another 6% so far today. Hershey (HSY) is less than 10% from its 52-week high. Not many companies can say that.

Here’s a chart of the S&P 500’s daily volatility. It’s early to say this but the extreme volatility may have peaked.

Posted by on March 30th, 2020 at 10:57 am


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