Investors should be on high alert because various key market metrics are coiling near consequential thresholds. In markets as in movies, suspense builds through the slow, quiet scenes of the second act.
The stock market is doing just enough to escape August with its uptrend intact, with the S&P 500 hovering around 7800.
Discussions about September historically being the worst month for stocks continue, but it's important to note that when stocks are already strong, September can be less scary.
The VIX has slipped below 15, which may indicate a shift from 'comfortable stability' to 'eerie complacency.'
The 10-year Treasury yield has nudged back above 4.7%, reacting to recent comments from Federal Reserve Chairman Kevin Warsh.
All of this could impact the market, especially with high expectations for September.
