tag:blogger.com,1999:blog-897456774486153841.post1396372202883107614..comments2024-03-25T09:22:22.004-07:00Comments on VIX and More: Odds and SodsBill Lubyhttp://www.blogger.com/profile/01241003017364820134noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-897456774486153841.post-2423196344167269632007-11-04T19:18:00.000-08:002007-11-04T19:18:00.000-08:00I'm not sure how much sector rotation necessarily ...I'm not sure how much sector rotation necessarily impacts volatility. Some of the major sector trends from the past week were more a continuation of existing trends than the beginning of new ones (money flowing into technology and gold and out of financials and consumer discretionary, for instance)...but you raise an interesting question that I will definitely look at soon: does increased volatility in the financial sector presage anything over and above volatility of the markets in general.<BR/><BR/><I>If</I> it were the case that increased volatility in the financial sector (and corresponding rotation of money out of that sector into other sectors) turns out to have some predictive value, my hunch is that this would likely be the result of a third cause that simultaneously affects both volatility and sector rotation, so volatility and sector rotation would both be symptoms of a different issue (i.e., concerns about the stability of the financial system as a whole) than necessarily one causing the other.<BR/><BR/>An interesting question that will give me a number of things to chew on.<BR/><BR/>Cheers,<BR/><BR/>-BillBill Lubyhttps://www.blogger.com/profile/01241003017364820134noreply@blogger.comtag:blogger.com,1999:blog-897456774486153841.post-53480607694064823912007-11-04T05:12:00.000-08:002007-11-04T05:12:00.000-08:00Hi Bill,Do you think last weeks volatility also in...Hi Bill,<BR/><BR/>Do you think last weeks volatility also involved sector rotation? Did you see a large shift from one sector to another?<BR/><BR/>Thankspikhttps://www.blogger.com/profile/07232392792291613838noreply@blogger.com