Daily return correlation of top 10 US stocks by market cap in the last yearNTTP6 min read·Just nowJust now--Press enter or click to view image in full sizeA cap, but not a market cap . Photo by NATHAN MULLET on UnsplashThe motivation for this article is from another Medium author explaining the pile up of wealth at the top of the stock market and the potential trouble therefrom when the (AI?) bubble bursts. This article shows that the problem is worse than he mentioned, because the top assets in the market ...

For a market that seems eerily calm, a sudden change could be closer than most investors think. The latest volatility insights report from Bank of America says the S&P 500's historically low volatility hides a fragile setup that could break if one hidden metric starts to move. The handicap for higher index vol is clearly historically low correlation within the S&P. The index-level vol crush continues… but rarely has it been this vulnerable to a correlation shock. The S&P 500's three-month realized vola ...