India VIX Falls 6% to 10.34 as Volatility Eases

Mumbai, Sept 23: India VIX, the market’s measure of expected volatility in the Nifty 50 over the coming 30 days, ended the 23 September session at 10.34, down 0.66 points or 6%. It opened at 10.99, reached an intraday high of 11.04 and fell to a low of 10.22, giving the session a 0.82-point range. 

India VIX Drops 6% as Range Narrows 

The decline came after India VIX opened at 10.99, against the previous close of 11.00. Volatility expectations initially moved higher, taking the index to 11.04, before it fell to 10.22 and settled at 10.34. 

India VIX reflects expected volatility in the Nifty 50 over the next 30 days. Its movement measures expected fluctuations rather than the direction of equity prices. The 6% fall on 23 September therefore represented a decline from the preceding session’s closing level. 

The index’s previous close of 11.00 and the opening level of 10.99 showed little change at the start of trading. The subsequent move to 11.04 marked the session high, while the decline to 10.22 established the day’s low before the index recovered modestly to 10.34 by the reported closing reading. This sequence captures the intraday movement without attributing it to an unverified cause. 

The day’s low of 10.22 was close to the classic pivot support of 10.21, while the previous-day pivot stood at 11.01. Classic resistance levels were 11.40, 11.81 and 12.20. These levels are calculated from the previous trading day’s range and are technical reference points. 

Nifty 50 Context Kept Volatility In Focus 

India VIX traded after the Nifty 50 ended the previous session at 23,329, down 85.30 points or 0.36%, while the Sensex closed at 74,529.08, lower by 329.91 points or 0.44% on 22 September. The session also ended the benchmarks’ four-day winning streak. 

On 23 September, market coverage showed the Nifty 50 at 23,368.60, up 39.60 points or 0.17%, around 9:45 am, while the Sensex gained 128.07 points or 0.17% to 74,657.15. The Nifty was also reported above 23,400 during the morning. The available references do not establish that a particular Nifty move directly caused the India VIX decline. 

FII Selling and DII Buying Shaped The Backdrop 

Institutional flows formed part of the market backdrop entering the session. On 22 September, foreign institutional investors recorded net sales of ₹3,809.99 crore, while domestic institutional investors recorded net purchases of ₹4,120.07 crore. 

Month-to-date, foreign institutional investors had net sales of ₹11,427.13 crore, while domestic institutional investors had net purchases of ₹43,136.02 crore. These figures relate to institutional cash-market activity and do not, by themselves, establish a direct causal relationship with India VIX’s 23 September movement. 

The previous session also saw technology, financial and FMCG stocks weigh on the benchmarks. IT stocks were particularly weak, while 14 of 16 major sectors were reported lower. These observations belong to 22 September and are treated only as background. 

Crude Oil and Global Cues Added Context 

Crude oil remained part of the wider market setting as prices moved below $100 a barrel amid reports concerning Iran and the possible reopening of the Strait of Hormuz if US military pressure eased. Brent crude had fallen 1.5% in the previous session, while the Indian rupee closed 0.2% higher at 95.59 per US dollar. The Reserve Bank of India was also reported to have been managing liquidity and supporting currency stability through market operations. 

These developments were reported on 22 September, so they are not new events from the 23 September session. No same-day evidence in the supplied references establishes that a particular oil-price move caused the India VIX decline. 

Global technology markets also provided a firm backdrop. The Nasdaq Composite reached an intraday record on 22 September and closed 0.40% higher at 27,231.59, while Brent and US crude declined. The US 10-year Treasury yield eased slightly, although global interest-rate expectations remained under focus. 

Trump-Xi Meeting Added Geopolitical Focus 

A major international development reported on 23 September was Chinese President Xi Jinping’s visit to Washington for a three-day state visit and meeting with US President Donald Trump. Discussions were reported to include tariffs, artificial intelligence, chips, rare earth minerals, Taiwan and Iran. 

The development was relevant to global markets because changes in US-China trade and technology relations can affect supply chains, commodities and regional economic expectations. However, the available material does not establish a measurable same-day causal link between the meeting and the 6% India VIX decline. It is therefore treated as a geopolitical development during the session, not a confirmed trigger. 

September History Shows Mixed India VIX Performance 

Seasonality data shows India VIX has recorded negative returns in 10 of 18 years during September. The month’s average change is 3.04%, with the maximum positive change at 34.92% in 2018 and the maximum negative change at -26.10% in 2009. The average positive change was 19.02%, while the average negative change was -9.74%. 

These historical figures describe past September performance and do not establish a pattern for the current session. The daily technical rating was Neutral, while moving averages, technical indicators and moving-average crossovers were unavailable in the supplied data. 

52-Week Range Keeps India VIX Near Lower Levels 

At 10.34, India VIX remained below its 52-week high of 28.90 and above its 52-week low of 8.72. The 23 September range of 10.22–11.04 remained inside those annual extremes. 

The index’s year-to-date return stood at 9.07% as of 23 September. Together, the daily fall, year-to-date figure and 52-week range provide the latest numerical snapshot of India VIX without adding a directional interpretation beyond the reported data. 

India VIX closed at 10.34, down 6%, after moving between 10.22 and 11.04. The session followed a weaker 22 September market backdrop, while institutional flows, crude oil, global markets and US-China developments provided wider context. The available references do not establish a direct causal link between these developments and today’s VIX move. 

Source 

• https://www.nseindia.com/reports-indices-historical-vix