CBOE VIX Volatility Index dips as S&P 500 trades in record territory.
The CBOE VIX (NYSEARCA:VXX) edged lower on Wednesday, as stocks eked out narrow gains before the close en route to new record highs.
The Chicago Board Options Exchange (CBOE) Volatility Index dipped 0.7% to close at 10.51. The index hovered between 10.38 and 10.86 in a session marked by narrow trading volume.
The large-cap S&P 500 Index (NYSEARCA:SPY) edged up 0.1% on Wednesday, reaching a new record high.
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 3.3%.
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 3.3%.
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 6.9%.
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 7.4%.
The Final Word: Volatility has nowhere to go but lower as stocks continue to reach for higher ground. Markets will turn their attention to economic data over the next two days.