Volatility index drops by another 16%

Mumbai, May 24 (IANS) The volatility index or the 'India VIX' cooled by another 16 per cent on Friday after the conclusion of the general elections.

A decisive victory for the BJP-led NDA and the certainty that a stable government will be at the helm soothed investor sentiments.

This would lead to swifter implementation of policies by the government and more important the existing policy which aids business environment in the country will continue.

The VIX, also know as the 'fear index', had touched record levels in the run up to the elections. It saw a massive drop on Monday after exit polls pointed at Prime Minister Narendra Modi's victory but it surged again.

The VIX had touched levels not seen since 2014 climbing up to 30, just a day prior to May 23 when the votes were counted.

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