Have you heard of VIX? If you have, then you know that many investors are betting against, or shorting, it right now. VIX, in simple terms, is a measure of the stock market’s volatility and risk. The measure is used to show the fluctuation in prices throughout the entire market and the risk involved in investing in the market, by measuring how much these prices can change.
Are you planning to go to college? Do you want to buy a home? Do you ever want to invest your money? If your answer to any of these is yes, then you should be paying attention to the stock market. Your parents probably have a retirement account or a money market account. Growth for all accounts, retirement or otherwise, depends on the market rates. Market rates, or interest rates, are what grows your money, no matter where you’ve invested it. Interest rates are the return you get for allowing a bank to use your money. In that way, the bank lends you the money to, for example, go to college, and then you repay that money plus interest, allowing the bank to make a profit.