Although the S&P 500 index continues to hit new highs, trading volume has not kept up with this trend. By contrast, trading volume is sluggish, as if no one is participating in the market, even as earnings season begins and the presidential election is approaching. Over the past few trading days, the volume of S&P 500 futures has continued to fall below the mid-term average. On Monday, volume fell below 1 million contracts for the first time since July. The 5-day average volume is now about 50% less than the 100-day average volume. Such low volume levels are rare in history, and usually only occur during the last few days of the year or around major holidays. Although the US presidential election in the past made the market relatively calm, the volume of transactions at that time was not as sluggish as it is now.

Although the S&P 500 index continues to hit new highs, trading volume has not kept up with this trend. By contrast, trading volume is sluggish, as if no one is participating in the market, even as earnings season begins and the presidential election is approaching. Over the past few trading days, the volume of S&P 500 futures has continued to fall below the mid-term average. On Monday, volume fell below 1 million contracts for the first time since July. The 5-day average volume is now about 50% less than the 100-day average volume. Such low volume levels are rare in history, and usually only occur during the last few days of the year or around major holidays. Although the US presidential election in the past made the market relatively calm, the volume of transactions at that time was not as sluggish as it is now.