The CBOE Volatility Index bounced off its lows to finish higher yesterday as the S&P 500 slipped into the close.
The volatility index finished at 18.33, up 0.38 points, or 2.1 percent after dipping into negative territory below 17.70 just before the bell. The VIX and the SPX are inversely correlated.
The VIX futures were modestly higher, with the July contracts up 0.25 points to 18.55. The August and September futures were both up 0.15 points to 20.60 and 22.4 respectively.
The VIX options ended up with big volume, trading more than 761,000 contracts, 439,000 of which were calls. The iPath S&P 500 VIX Short-Term Futures ETN (VXX) options traded 185,000 contracts, with 109,000 calls.
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