The S&P 500 held near a four-year high on Friday, and the market’s key gauge of anxiety sank to its lowest since 2007, suggesting a belief that the problems stressing investors might be closer to a resolution.
The Nasdaq outperformed the broader market as Apple shares reached an all-time high. The CBOE VIX volatility index (.VIX) hit a 5-year low of 13.43 before closing down 5.9 percent at 13.45.
The S&P 500 made a solid move above the closely watched 1,400 level in the last session, posting its biggest gain in two weeks. But trading volume remained low.
“From a sentiment point of view, the market has little to inhibit it from proceeding higher,” said Ralph Edwards, director of derivatives strategy at ITG in New York.