Jun. 29, 2009 (Action Economics) --
UBS risk index sank to -0.40 from -0.38, deeper into risk seeking territory (or lower risk aversion), mainly driven by lower equity and FX volatility. The VIX equity volatility index finished out the week near lows at 25.93, compared to Friday's 25.76-27.22 range and 32.0 to start out the week. Yet risk proxy gold rose a bit last week, rebounding from the $910 area to highs near $948 before settling back to the $940 this morning. While high yielder spreads widened, emerging market spreads narrowed against Treasuries. The dollar index is fairly flat at 79.88 at the moment after drifting sideways around 80.0 last week.
