VIX falls 20.26% to 16.61 before US session
Published on 11/05/2026 at 13:23 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSVIX resets after election rally
- The VIX closed at 16.61 on November 4, down 20.26% from 20.83.
- Cboe attributed the volatility decline to the election outcome and sharply lower oil prices.
- The November 5 report is a US-session preview, with the Bank of England decision and US jobless claims ahead.
VIX pre-market view: The Cboe Volatility Index closed at 16.61 on Wednesday, November 4, down 4.22 points or 20.26% from Tuesday's 20.83. At the configured Europe-morning to midday reporting window on Thursday, November 5, the US cash session had not yet opened, so the figure is the last completed Cboe session close rather than a new intraday reading.
The VIX measures near-term volatility expectations derived from S&P 500 option prices. In its VIX product overview, Cboe describes the index as a market-based gauge of expected volatility and investor sentiment.
Election risk premium unwinds
The scale of the decline marked a rapid reversal in protection demand. In its November 4 market commentary, Cboe said the index fell well below 20 as markets reacted to the election result. The exchange also pointed to sharply lower oil prices and hopes of reduced geopolitical pressure as factors supporting the broader risk rally.
The move came alongside a strong advance in US equities: Cboe reported gains of 3.03% for the Dow Jones Industrial Average, 1.44% for the Nasdaq Composite and 1.58% for the S&P 500 on November 4. Those market moves provide context for the VIX decline, but they do not establish that any single factor caused the index move.
Events that could reset volatility
Investors entered Thursday with the election-related volatility premium substantially reduced. Saxo's November 5 market overview listed the Bank of England rate decision at 13:00 Berlin time and US weekly initial jobless claims at 13:30 Berlin time. Friday's US payrolls report was also identified as a subsequent risk event. These releases may influence rate expectations and equity hedging demand, although their eventual effect on the VIX cannot be known in advance.
For investors, the key distinction is between the spot index and volatility derivatives. The 16.61 level is the official-looking close reported for the VIX index on November 4; futures can trade at different levels and should not be combined with the spot close to calculate the index's daily move. The latest reading leaves the VIX below the 20 level that Cboe characterizes in its commentary as a caution threshold, but it does not eliminate the possibility of a renewed rise if political, economic or market risks intensify.
Further VIX coverage is available on the VIX topic page.
