Stress index says not to worry

The St Louis Fed Reserve financial stress index continues to fall and move to pre-2008 levels. NBER stated that the recession began in December 2007 and lasted until June 2009. We continue to show improvement with the momentum of the index moving in the right direction. Note that the index spiked during the Greece debt crisis but has moved lower with the increase in equities. The index is a composite of 18 variables, including 5 volatility measures, 7 interest rates and six interest rate spreads. See the St Louis Fed website for more details.