The CBOE Volatility Index (VIX) has declined steadily throughout August 2025, reaching its lowest closing levels of the year. After peaking above 60 in early April 2025, the VIX fell below 15 mid-month and continued to drop, settling at 14.49 on August 13, marking a decline of over 75% from its April high. This level is the lowest since December 24, 2024, and represents a significant reduction in market volatility. Market participants have noted the VIX's role as a support level around 15 throughout 2025, with traders closely watching the 19.5 level as a critical threshold for potential volatility spikes. The decline in the VIX corresponds with equity markets hitting year-to-date and all-time highs, including the S&P 500 and Nasdaq, while bond market volatility remains at multi-year lows. Additionally, the EURO STOXX volatility index fell to 15.58, its lowest since February. The overall environment suggests subdued market fear despite ongoing economic data releases, earnings reports, and tariff discussions. Analysts highlight that the current low volatility environment is unusual given the sustained rise in the S&P 500 price index, earnings growth, and expanded price-to-earnings multiples since October 2022.