India VIX falls as Trump declares Iran-Israel ceasefire, stocks rally

India VIX, the volatility index of the Indian market,  slumped 5% in early deals on Tuesday as oil prices fell to their one-week low on reports of ceasefire between Iran and Israel. Brent crude futures slipped $2.69 or 3.76% to $68.79 a barrel, touching their lowest level since June 11.

Subsequently, NSE's volatility gauge fell 5.33% to 13.30 against the previous close of 14.05. 

On Monday, India VIX had surged 5% amid the Iran-Israel war indicating that investors were worried over the prospects of their investments in the equity market. 

The index has fallen 12% since June 13 when Israel attacked Iran's nuclear and military locations for the first time.  indi Vix has soared to 15.08 on that day. 

Meanwhile, Sensex and Nifty rallied in early deals today as US President Donald Trump signaled ceasefire between Iran and Israel. Sensex rose 651 pts to 82,547 and Nifty gained 197 pts to 25,168 on Tuesday.