SOX Semiconductor Index Posts Historic Volatility, Up 175% in Year

The Philadelphia Semiconductor Index (SOX) has recorded nine single-day gains of at least +5% over the last 60 trading days, matching a frequency last observed in January 2009. According to data from The Kobeissi Letter, this reading has only been exceeded during the aftermath of the Dot-Com Bubble burst, when the metric peaked at 17 sessions in January 2003 and reached 15 days in early 2001.

This level of extreme upside volatility has historically occurred only during major bear markets. Meanwhile, the SOX has surged +175% over the past 12 months and is currently trading at all-time highs, an unprecedented rally in scale.