VIX Archives - Cboe Blogs

  • VIX | Aug 14, 2015, 2:40 PM

    TYVIX Weekly Review: Nothing Like a Yuan Devaluation to Invigorate Volatility

    TYVIX Weekly Review: Nothing Like a Yuan Devaluation to Invigorate Volatility

    After last week’s doldrums, the Chinese government’s surprise devaluation of the yuan breathed life into CBOE’s VIX Suite: VIX, TYVIX, EUVIX, BPVIX and JYVIX. Volatilities fluctuated as the events of the week unfolded – initially climbing on Tuesday when the devaluation occurred and prompted a number of analysts to suggest the Federal Reserve’s target rate increase could be deferred to next year. Volatilities in VIX and TYVIX subsided somewhat in midweek following mostly[...]

  • Market News | Aug 10, 2015, 10:56 AM

    On The Fence - Weekly Market Outlook

    On The Fence - Weekly Market Outlook

    Once again, stocks managed to end the trading week on the fence, pressured lower by bearish momentum, but perking up at a very important support line when push came to shove on Friday. How we begin the new week is uncertain, but in the current market environment even the first move out of the gate isn't necessarily an indication of the trend's true direction. We'll sort it all it below, right after a brief run-down of last week's and this week's major economic news, the biggest of which was obviously[...]

  • Market News | VIX | Trader Talk | Futures | Aug 9, 2015, 5:49 PM

    Barron's Striking Price Column Highlights VIX Weeklys

    Barron's Striking Price Column Highlights VIX Weeklys

    This past weekend Steven Sears committed the whole Striking Price column in Barron’s to VIX Weeklys. I would strongly suggest checking out the full column, as well as reading it every weekend as it is a great way to learn more about options. Some highlights include – Weekly VIX futures contracts were introduced July 23th and the options are expected to begin trading on October 8th The shorter dated VIX futures are expected (and already have been) to track spot VIX more closely[...]

  • Market News | Aug 9, 2015, 11:04 AM

    The Week in Russell 2000 Trading - 8/3 - 8/7

    The Week in Russell 2000 Trading - 8/3 - 8/7

    The Russell 2000 (RUT) was down 2.57% last week, over twice the drop that occurred in the large cap focused Russell 1000 (RUI). This puts large cap stock performance solidly in the lead relative to small caps in 2015. For the year RUT is now up (a strong word for this) 0.18% while RUI is up 1.25%. We saw a strong move in the relationship between small cap and large cap volatility last week. Probably the best way to measure this is to compare the CBOE Russell 2000 Volatility Index (RVX) with VIX[...]

  • Market News | VIX | Trader Talk | Aug 8, 2015, 2:06 PM

    The Week in Volatility Indexes and ETPs - 8/3 - 8/7

    The Week in Volatility Indexes and ETPs - 8/3 - 8/7

    The over 1% drop in the stock market did not get traders too worried as VIX remains well under 14 and the VXST – VIX – VXV – VXMT curve maintained a distinct ‘normal looking’ curve. In 30 days we will be in early September, which is a time of year that often puts traders more on edge.   VIX did rise over 10% last week in response to the S&P losing 1.25%. As of Friday VXX was about 1/3rd August VIX futures and 2/3rds September VIX. Since the August contract[...]

  • Market News | Education | Aug 7, 2015, 4:14 PM

    TYVIX Weekly Review: Is Fed Fatigue Setting In?

    TYVIX Weekly Review: Is Fed Fatigue Setting In?

      As market participants returned to the view this week that a September (rather than December) fed fund hike may be more likely, backed up in part by an as-expected U.S. July employment report on Friday, expected Treasury volatility measures through December 2015 decreased, but just barely. At week’s end, the TYVIX Index was still about 1 index point below its value at the beginning of July, as were futures on TYVIX.  This suggests the 10-Year Treasury market is indifferent to whether[...]

  • Market News | VIX | Aug 7, 2015, 2:30 PM

    The Weekly Options News Roundup – 8/7/2015

    The Weekly Options News Roundup – 8/7/2015

    The Weekly News Roundup is your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast and online and social media outlets. Weeklys: A Better Hedge? After CBOE first introduced Weeklys options in 2005, their popularity as an event-driven, short-term hedge has grown steadily.  Investors now have the ability to trade Weeklys on VIX futures and, beginning in October, Weeklys on VIX options. “The Case for Shorter Expirations”[...]

  • Market News | Technical Analysis & Charts | Aug 7, 2015, 11:49 AM

    Weekly Stock Market Commentary 8.7.15

    Weekly Stock Market Commentary 8.7.15

    The stock market continues to hover in its trading range. Despite some promising buy signals from sentiment extremes in put-call ratios and $VIX, there was no follow-through by the Standard & Poors 500 Index ($SPX). We have often said -- and still maintain -- that price is the most important indicator. Regardless, as long as $SPX remains in the broad 2040-2135 trading range, the chart is neutral. Equity-only put-call ratios gave buy signals a little over a week ago, and they remain strongly on[...]

  • Market News | Aug 3, 2015, 10:03 AM

    Choppy Waters - Weekly Market Outlook

    Choppy Waters - Weekly Market Outlook

    The bulls managed to get a nice reversal rally going on Tuesday of last week. But, when push came to shove on Friday, the bulls couldn't follow-through and carry the market meaningfully higher. Though the market finished the week above its key short-term moving averages, it also finished the week pointing in a bearish direction. Maybe it was just a bad day. Maybe the market will rekindle last week's jump-started rally early on this week and make a run for new highs. (There's certainly room and some[...]

  • VIX | Education | Strategy | Trade Ideas | Aug 2, 2015, 5:17 PM

    July: Tricky by Anyone's Standards

    July:  Tricky by Anyone's Standards

    Editors note – we would like to welcome Meredith Kelley Zidek as a new contributor to the CBOE Options Hub.  Meredith is a private investor whose interests include equities, options, and commodities.  She began trading equities in 2007, and since then has cultivated interests in corn, energy, and most recently, index and equity options. Almost all of her trading, which can be seen on grapestrades.blogspot.com, involves short options on volatility-related instruments.  She studies[...]

  • Market News | VIX | Trader Talk | Futures | Aug 2, 2015, 8:54 AM

    The Week in Russell 2000 Trading - 7/27 - 7/31

    The Week in Russell 2000 Trading - 7/27 - 7/31

    I was on the road for CBOE and on the other side of the world recently so I missed some of the market action of late. I knew the Russell 2000 (RUT) was lagging, but was honestly surprised to see that the small cap dominated RUT performance for 2015 is basically in line with large cap stocks which is represented by the Russell 1000 (RUI) below.  My impression was that China and Greece (storm that has passed - for the moment) were dominating the news.  However, the relative performance[...]

  • Market News | VIX | Trader Talk | Futures | Aug 1, 2015, 6:25 PM

    The Week in VIX - 7/27 - 7/31

    The Week in VIX - 7/27 - 7/31

    The S&P 500 was up over 1% and both spot VIX and VIX futures suffered the consequences.   Spot VIX lost almost 12% and the August future was down about 6% last week. VIX Weeklys futures were launched a couple of weeks ago and the first short dated contract expires this coming Wednesday on the open. I decided it was time for a quick look at how the nearest term contract has been tracking along with VIX. Day by day changes won’t tell us much so I sent my very competent summer intern[...]

  • Technical Analysis & Charts | VIX | Trader Talk | Futures | Aug 1, 2015, 10:32 AM

    The Week in Volatility Indexes and ETPs - 7/27 - 7/31

    The Week in Volatility Indexes and ETPs - 7/27 - 7/31

    I was reminded of my advancing age several times this past week. I’ll save those incidents for the other grumpy aging men on my block. One of the benefits (let me believe this) of being around for a while is having lived through a variety of market environments. This market got me thinking about John Gotti who was the boss of the Gambino family back in the day. One of his monikers was “The Teflon Don” as he was put on trial three times and acquitted three times. Teflon is a substance[...]

  • Market News | VIX | Jul 31, 2015, 3:00 PM

    The Weekly Options News Roundup – 7/31/2015

    The Weekly Options News Roundup – 7/31/2015

    The Weekly News Roundup is your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast and online and social media outlets. VIX Weeklys Options Are Coming Following the successful launch of VIX Weeklys futures, CBOE has announced plans to list VIX Weeklys options beginning October 8th, offering market participants more opportunities to trade VIX.  Weeklys offer investors short-term protection, as well as the ability to fine-tune the[...]

  • Market News | Jul 31, 2015, 11:29 AM

    Weekly Stock Market Commentary 7.31.15

    Weekly Stock Market Commentary 7.31.15

    The chart of $SPX is the least bullish of the indicators. SPX remains in the 2040-2135 trading range that has bound it for most of this year. Basically this is a neutral chart. Put-call ratios are much more encouraging. A strong buy signal has been generated by the standard put-call ratio (Figure 2). The weighted equity-only put-call ratio is also bullish (Figure 3). Market breadth remains mixed, with the NYSE-based indicator now on a buy signal, but the "stocks only" is not. Volatility[...]