Wall Street Fear Index Jumps as Trade Tensions Reignite

Investors were feeling on edge Monday after China hit back at President Donald Trump's claim that Beijing had "totally violated" the tariff deal it brokered with Washington last month.

The Cboe Volatility Index, which tracks S&P 500 options contracts and trades under the ticker VIX, jumped 1.2 points to just under 20 in early trading. Any reading of above 20 tends to indicate relatively high uncertainty, so the fear gauge's recent movements are a sign that Wall Street is getting nervous.

China's Ministry of Commerce said Monday that the White House had “severely undermined” the consensus reached at trade talks in Geneva last month. That's fueled fears that the world's two largest economies won't be able to agree to a longer-term trade agreement, sending stock futures lower and leading to investors to flock to safe-haven assets like gold.