VIX closes near highs; futures follow
Chris McKhann | firstname.lastname@example.org
The CBOE Volatility Index popped into the bell, closing near its high of the day as the S&P 500 suddenly dropped.
The VIX was up 0.90 points, or 5 percent, to 18.93. The SPX fell sharply in the final minutes of the session, finishing down nearly 6 points to 1379.32.
The August VIX futures were up 0.35 points to 19.85, oddly coming off its highs in the last minutes of trading and closing below the morning highs. The September futures rose 0.40 points to 21.65, their high of the day.
The VIX option volume was light at 164,000 contracts, with 114,000 calls. The iPath S&P 500 VIX Short-Term Futures ETN (VXX) saw 112,000 options change hands, led by 70,000 calls.
The VVIX Index, which measures the implied volatility of the VIX options, was up 1.5 percent to 96.11.
Another record close for stock indexes
May 20, 2013
Stocks continued to melt higher on Friday, with the Nasdaq 100 as the only major equity index not in record territory. The CBOE Volatility Index was down 4.74 percent to 12.45.
Videocast: Traders shift as VIX drops
May 17, 2013
As the volatility index falls with today's rally, GroupOne's Jamie Tyrrell says traders are no longer looking for crash protection in May contracts and are buying June VIX calls instead.
Videocast: View of VIX before settlement
May 16, 2013
GroupOne's Dominic Salvino, filling in for Jamie Tyrrell, says VIX traders are targeting the 13 or 14 level ahead of May settlement next week.
VIX rises even as SPX breaks record
May 16, 2013
Equities posted more gains yesterday, while the CBOE Volatility Index bucked its usually inverse relationship with the S&P 500 and rose along with stocks.
Videocast: Low premiums in volatility
May 15, 2013
GroupOne's Jamie Tyrrell says VIX premiums are surprisingly low, indicating that traders are not expecting much of a move before next week's May settlement.