Stress on Wall Street is nowhere to be found.
The St. Louis Fed today announced that its Financial Stress Index fell to an all-time low for the second time in three weeks.
The index is based on 18 data series, which include interest rates and the spread between certain interest rate-sensitive securities or benchmarks. A reading of 0 represents normal financial market conditions.
The index, measured on a weekly basis, dates back to 1993.
Here’s what it looks like in chart form.
This reading is just the latest in a series of indicators showing how and why things are so quiet in the market. And this trend does not appear to be going away.
Here we go.