More storms in teacup ahead as volume picks up

New York

DON'T let last week's rebound fool you, strategists say. More wild days are coming in the stock market.

While calming words from the Federal Reserve were enough to soothe investors this time, sending the Standard & Poor's 500 Index to its biggest three-day rally since 2011, equity volatility is picking up and upheavals will become more common next year, according to strategists at JPMorgan Chase & Co and Bank of America Corp. Three weeks into December, the Chicago Board Options Exchange Volatility Index has already risen 99 per cent and fallen 30 per cent.

It's the second time in two months that the gauge of trader anxiety known as the VIX jumped above 20, only to erase more than half its gain w…