This chart shows the contribution of the stock market crashes indicator to the CFSI. This indicator is measured as the ratio of the current value of the S&P 500 Financial Index relative to its maximum over the previous 365 days. It captures the extent to which equity values have dropped over the previous year. It also captures expectations about the future of the banking industry.
Release: Cleveland Financial Stress Index
Federal Reserve Bank of Cleveland, Contributions to the Cleveland Financial Stress Index: Stock Market Crashes [SMCD678FRBCLE], retrieved from FRED, Federal Reserve Bank of St. Louis https://research.stlouisfed.org/fred2/series/SMCD678FRBCLE, February 12, 2016.