VIX Daily Update: Volatility Soars as Tech-Sector Rollover Continues
CBOE VIX Volatility Index approached three-month highs on Tuesday.
The CBOE VIX (VXX) surged on Tuesday, as stocks extended their slide for a third consecutive day.
The Chicago Board Options Exchange Volatility Index reached a session high of 35.93 on a scale of 1-100 where 20 represents the historical average. That would have marked the highest level in three months. VIX would eventually settle up 2.3% at 31.46.
In stocks, the large-cap S&P 500 Index (SPY) declined 2.8% on Tuesday.
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 2.1%.
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 1.3%.
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ProShares Ultra Short Term VIX Futures: (UVXY) UVXY is designed to deliver 1.5X (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 3.9%.
The Final Word: Investors continue to eye the global spread of COVID-19. As of Friday, more than 27.4 million people had been infected with the novel disease, including 6.3 million in the United States.