No Fear

The VIX volatility index is down once again today, even as the market trades lower.  Last week when the market was tumbling, the VIX also declined (partly due to seasonal factors), which is unusual, especially given the concerns that seem to abound regarding Europe.  As shown below, the VIX is now at its lowest level since early August after breaking below its October lows a few days ago.  In October when the VIX made its lows, the market was surging.  The market has done anything but surge over the past week and a half.  Are traders ignoring the world's problems, or are they indicating that things aren't as bad as they seem?

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