An Investing Riddle: Stocks Are in Turmoil but Stock Markets Aren’t - WSJ

1. S&P 500 volatility remains contained but shows signs of potential risk. 2. CBOE Volatility Index dropped to 15, under historical average of 19.5. 3. Rising dispersion in equities indicates sensitive market reactions to individual stocks. 4. Hedge funds profit from volatility spreads, posing risks of increased volatility. 5. Amateur trading and new ETFs may distort market signals, risking sudden corrections.