sunil94062

Berkshire Hathaway's Peculiar Volatility Numbers

I think this is correct. If anything the VIX will fall as more or most shoes have dropped and all manner of malaise is priced into the market. The lame-duck government (and they are the quintessential king maker right now), was exasperating the volatility that comes from uncertainty. As more things become clear, and as more speculator exit or sit on the side-line the lower VIX will become.
No later than next spring, I feel many of the risks will become non-risks and thus the market will become more stable.
As it is the global rout in equity values is on par with the projected losses - I think we have shed about $12T in global tangible (equity & real estate) value - and not everything is going to zero, or falling off the face of the earth!