CBOE VIX Volatility Index backtracks on Monday.
The CBOE VIX (NYSEARCA:VXX) traded lower on Monday, as stocks mounted a tepid relief rally following last week’s decline.
The Chicago Board Options Exchange (CBOE) Volatility Index fell 4.7% to 14.20 on a scale of 1-100 where 20 represents the historic mean. The so-called “fear index” entered bullish territory on the RSI last week as stocks fell in the first week back from Labor Day.
In stocks, the S&P 500 Index (NYSEARCA:SPY) gained 0.2% on Monday.
Major VIX ETFs:
iPath S&P 500 VIX Short Term Futures ETN: (NYSEARCA:VXX) Designed to offer exposure to the S&P 500 VIX Short Term Futures Index Total Return. The Index uses CBOE Volatility Index futures by way of a long position in the first and second month VIX Futures contracts. VXX declined 2.7%.
ProShares Short VIX Short-Term Futures (SVXY) to track the inverse daily performance of the S&P 500 VIX Short Term Futures Index. SVXY advanced 1.t%.
ProShares Ultra Short Term VIX Futures: (NYSEARCA:UVXY) UVXY is designed to deliver 2X (leveraged) returns of the day’s moves in the S&P 500 VIX Short Term Futures Index. It tacks the two front months of the futures contract. UVXY declined 4.2%.
VelocityShares Daily 2x VIX Short Term Futures ETN (NYSEARCA:TVIX) TVIX is a leveraged VIX ETN designed to deliver 2X the returns of the daily S&P 500 Short Term Futures Index. TVIX declined 5.4%.
The Final Word: Despite last week’s losses, stocks remain in a firm uptrend. Economic data, monetary policy and free trade negotiations will play a big role in how assets are priced over the next two weeks.