VIX

VIX means the Cboe Volatility Index, which is often used as a measure of expected stock market volatility. In simple terms, VIX is often called the market’s fear gauge. VIX is important because it helps investors understand how much volatility the market expects in the S&P 500. When VIX rises, investors may be expecting bigger market swings or feeling more uncertain. For example, during a market sell-off or crisis, VIX often rises as investors seek protection. VIX does not predict market direction by itself. It measures expected volatility, not whether stocks will definitely rise or fall.