The U.S.-China trade war and President Donald Trump’s attacks on Federal Reserve Chair Jerome Powell put the market on edge Monday.
The Cboe Volatility Index, a widely-followed Wall Street fear gauge that tracks S&P 500 options contracts and trades under the ticker VIX, climbed 9.5% to more than 32 in early trading. Any reading of above 20 is typically seen as a sign of heightened volatility.
China said Monday that it would retaliate against countries that support the U.S.’s tariff plans, the latest development in the ongoing standoff between Beijing and Washington.