CBOE VIX Volatility Index inches higher, but remains subdued overall.
The CBOE VIX (NYSEARCA:VXX) rose slightly on Tuesday, as US stocks backtracked from record highs amid fresh waves of political instability in Washington.
The Chicago Board Options Exchange (CBOE) Volatility Index advanced 2.2% to 10.65, on a scale of 1-100 where 20 represents the historical average. The volatility gauge is recovery from 24-year lows amid tepid trading conditions on Wall Street.
The large-cap S&P 500 Index (NYSEARCA:SPY) settled down 0.1% on Tuesday.
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 1.4%.
VelocityShares Daily Inverse VIX Short Term Futures ETN: (NYSEARCA:XIV) Designed to track the inverse daily performance of the S&P 500 VIX Short Term Futures Index. XIV advanced 1.1%.
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 1.9%.
VelocityShares Daily Short Term VIX 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 2.2%.
The Final Word: Volatility shows little signs of returning as the market heads into the slower summer months. The fear index has declined over 24% since the start of the year.