CBOE DJIA Volatility Index
VXDCLS • Economic Data from Federal Reserve Economic Data (FRED)
Latest Value
15.62
Year-over-Year Change
-0.45%
Date Range
10/7/2021 - 8/6/2025
Summary
The CBOE DJIA Volatility Index measures the market's expected 30-day volatility for the Dow Jones Industrial Average through options pricing. It provides a critical indicator of investor sentiment and potential market uncertainty.
Analysis & Context
This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.
Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.
About This Dataset
This volatility index represents the market's anticipated price fluctuations and serves as a key barometer of investor expectations and risk perception. Economists and traders use it to gauge potential market turbulence and investor confidence.
Methodology
The index is calculated using weighted prices of DJIA options, reflecting implied volatility through complex options pricing models.
Historical Context
Financial analysts and policymakers use this index to assess market risk, inform investment strategies, and understand potential economic instability.
Key Facts
- Measures expected 30-day volatility for Dow Jones Industrial Average
- Higher values indicate greater anticipated market uncertainty
- Calculated using complex options pricing methodology
FAQs
Q: What does a high VXDCLS value mean?
A: A high value suggests investors anticipate significant market price fluctuations and increased uncertainty in the near term.
Q: How often is the VXDCLS updated?
A: The index is calculated and updated in real-time during market trading hours, providing continuous market sentiment insights.
Q: Can VXDCLS predict market crashes?
A: While not a definitive predictor, sustained high volatility can signal potential market stress and increased likelihood of significant price movements.
Q: How do professional investors use this index?
A: Investors use the VXDCLS to assess market risk, adjust portfolio strategies, and make informed decisions about potential market volatility.
Q: What are the limitations of the VXDCLS?
A: The index is a forward-looking measure based on options pricing and does not guarantee actual market performance, representing only market expectations.
Related News
U.S. Natural Gas Storage Increases Due to Market Dynamics
Navigating Market Volatility: U.S. Natural Gas Storage Strategies and Trends Understanding the dynamics of the U.S. natural gas storage sector is c...
Gen Z In the U.S. Shifts From Spending To Saving Habits
How Gen Z's Shift from Spending to Saving is Impacting the US Economy Recent trends indicate a significant shift in the spending habits of Gen Z, w...
S&P 500 Rises With Optimistic U.S. Inflation Report
S&P 500 Soars: Positive U.S. Inflation Developments The S&P 500, a primary stock index that tracks the performance of 500 major U.S. companies, has...
U.S. Stock Market Futures Rise On Inflation and Tariff News
US Stock Market Futures Rise Amid Inflation Data and Tariff News US stock market futures are on the rise, driven by significant updates in inflatio...
U.S. Treasury Yields Decline After Inflation Data Meet Expectations
US Treasury Yields Drop as Inflation Data Meets Expectations US Treasury yields have seen a noticeable decline recently, as the latest inflation da...
U.S. Stock Market Rises Amid PCE Inflation Report Analysis
U.S. Stock Market Climbs Amidst Insights from PCE Inflation Report Investors in the U.S. stock market are focusing on the most recent PCE Inflation...
Related Trends
Citation
U.S. Federal Reserve, CBOE DJIA Volatility Index [VXDCLS], retrieved from FRED.
Last Checked: 8/1/2025