The first week of 2016 was a challenging one for many financial markets worldwide, as (1) It was the worst opening week of the year in history for both the S&P 500®(SPX) and the Dow Jones Industrial Average, (2) The Shenzhen Composite Index of Chinese stocks fell 14.2%, (3) Crude oil futures (Feb. WTI) fell 10.5%, and (4) The U.S. dollar posted its biggest weekly loss vs. the yen since August 2013.
Were there investable instruments that had diversification potential with double-digit increases last week? As shown in both the table and graph below, the Week 2 Weekly futures on the CBOE Volatility Index® (VIX®) (with an expiration date of January 13th) rose 42.1% last week. (The VIX Index spot value is not directly investable).
TRADING IN MID-AUGUST 2015
As shown in the chart below, over the three trading days ending August 24, 2015, the VIX Weekly Week 34 futures rose 147%.
EXTENDED TRADING HOURS FOR VIX FUTURES AND OPTIONS
Extended trading hours are provided for VIX futures and options, and on SPX options.
VIX futures are available for trading more than 23 hours per day during the trading week.
More information on use of VIX futures and options (including delayed price quotes) is available at www.cboe.com/VIX and http://cfe.cboe.com.