India Volatility Index cools sharply as NDA returns to power

The India Volatility Index (India VIX) cooled off sharply to 19.40 on May 23 from its 3-year-high of over 29 after poll results gave a clear trend of NDA coming back to power with a thumping victory.

India VIX at NSE closed at 19.40 down from just a shade less than 30 over May 22 closing.

"If we observe last few day's movements, we can clearly see this index marching at elevated levels of 28-29. Today, we saw VIX cooling off significantly to reach at sub-20 levels. Going ahead, we may see the index oscillating in its lower band of 17-20," Angel Broking chief analyst (technical and derivatives) Sameet Chavan told PTI.

India VIX, the fear gauge for domestic equities, had been hovering at its 3-year-high for the last one month over political uncertainities and high crude.