VIX, futures decline as S&P 500 climbs
Chris McKhann | firstname.lastname@example.org
The CBOE Volatility Index closed near its session lows yesterday as the S&P 500 finished just off its high.
The VIX was down 0.27 points, or 1.37 percent, to finish the day at 19.45. The volatility index hit a low of 19.38 in the morning but had been in positive territory for most of the afternoon and even right before the bell.
The S&P 500 was at the day's high above 1334 just before the bell and ended the day at 1331.85, up just under 12 points. The SPX and the VIX typically move inversely.
The July and August VIX futures were both down 0.10 points, to 21.65 and 23.60 respectively. The further-dated futures were all down more.
In very light overall volume of under 11 million options, the VIX saw 172,000 contracts trade with just shy of 100,000 calls. The iPath S&P 500 VIX Short-Term Futures ETN (VXX) saw 114,000 change hands, including 72,000 calls.
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.