CBOE Volatility Index Drops To Lowest Level Since March 8

US stocks closed higher on Tuesday, with all the three major indices gaining at least 1% during the session.

Micron Technology, Inc. MU shares gained 7.2% on Wednesday, providing a boost to the S&P 500 index. The company reported worse-than-expected Q2 EPS and sales results.

Lululemon Athletica Inc. LULU shares surged 12.7% after the company reported upbeat Q4 results and issued strong outlook.

All the major sectors on the S&P 500 closed on a positive note, with real estate and information technology stocks recording the biggest gains on Wednesday.

The Nasdaq 100 jumped 1.87% to close at 12,846.03 on Wednesday, amid losses in shares of Amazon.com, Inc. AMZN and Apple Inc AAPL.

The S&P 500 rose 1.42%, while the Dow Jones added 1% to 32,717.60 in the previous session.

The Chicago Board Options Exchange's CBOE Volatility Index (VIX) fell 4.3% to 19.12 points on Wednesday, settling at its lowest level since March 8.

What is CBOE Volatility Index?

The CBOE Volatility Index, popularly known as VIX, is a measure of the equity market's expectation of volatility based on S&P 500 index call and put options.

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