Investing.com - The VIX, Wall Street's so-called fear gauge, crashed to a 16-month low on Wednesday, with the Dow remaining within striking distance of the psychologically important milestone of 20,000 mark in light pre-holiday trade.
The CBOE Volatility Index, fell to as low as 10.93, a level not seen since August 2015, and was last at 11.23 by 10:10AM ET (15:10GMT), down 2%.
The VIX has plunged from as high as 23 in the days leading up to Donald Trump's shock presidential election victory and down from a 2016 peak of 28 reached in February, when the S&P 500 tumbled on global recession fears.
Since the U.S. election in early November, the Dow has surged 11% and has posted 17 record closes on expectations for Trump’s fiscal stimulus and stronger U.S. growth.