CBOE VIX Volatility Index ends the week on a high.
The CBOE VIX (VXX) rose on Friday, as sliding oil prices triggered a sharp drop in energy stocks.
The Chicago Board Options Exchange (CBOE) Volatility Index, commonly known as the VIX, reached a session high of 12.83 on a scale of 1-100 where 20 represents the historic average. The so-called “fear index” would eventually settle at 12.62, having gained 7.4%.
In stocks, the large-cap S&P 500 Index (SPY) edged down 0.4% on Friday.
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 advanced 2%.
ProShares Short VIX Short-Term Futures (SVXY) to track the inverse daily performance of the S&P 500 VIX Short Term Futures Index. SVXY declined 1%.
ProShares Ultra Short Term VIX Futures: (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 advanced 2.9%.
VelocityShares Daily 2x VIX Short Term Futures ETN (TVIX) TVIX is a leveraged VIX ETN designed to deliver 2X the returns of the daily S&P 500 Short Term Futures Index. TVIX advanced 3.5%.
The Final Word: VIX erased its losses for the week, but remains very low by historical standards. Year-to-date, the volatility gauge has fallen more than 50%.