VIX slips on U.S.-Iran deal, Hormuz talks keep volatility in focus
VIX sank after the U.S. and Iran agreed to halt their war and reopen the Strait of Hormuz. But the sharp drop in Wall Street’s fear gauge might be painting a rosier picture than the market really has. The VIX dropped 2.04 points, or 11.06%, to 16.40 on June 18, according to Cboe data. The index uses prices from S&P 500 options to track expectations for volatility in the stock market in the near term, but doesn't directly gauge investor sentiment.