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"All Clear"? European 'VIX' Crashes By Most Ever To Record Low

With the Dutch Election behind them, it appears European stock investors see nothing but smooth-sailing ahead...

Europe's VIX collapsed overnight - by the biggest relative amount in its history - to close at the lowest level since the Euro began...

 

For context, this collapse compressed the relative risk premium for European stocks over US stocks to zero... something we have only seen historically at extreme systemic stress points...

So the 'all-clear' seems to have been given - don't worry about French elections, the rise of AfD in Germany, Turkish tensions, the ECB on the verge of tightening, and peripheral bond risks rising... just dump your hedges.