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Implied volatilities fell across assets last week, led by a sharp drop in oil volatility.

Market News
07 Jul 2026
Seeking Alpha
View Source
Neutral
pluang ai news

Last week, implied volatilities decreased across multiple asset classes during a shortened holiday week, with oil volatility experiencing the largest decline as the OVX Index dropped nearly 5 points to 42%. Market sentiment stayed stable and bullish, while the flattening of the SPX 1-month skew suggests reduced downside risk. Additionally, the strong performance of small-cap stocks indicates the equity rally is broadening beyond just mega-cap tech companies. This shift may signal a more diversified market recovery ahead.

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