Last Week in VIX and VXN – September 22, 2013

The S&P 500 and NASDAQ-100 finished the week up over 1% each, after being up over 2% on the week.  Wednesday’s announcement by the Fed that there will be no tapering brought back images to Kevin Bacon toward the climax of Animal House urging all citizens to remain calm all is well.  At some point we may get that sort of reaction, but apparently it is been put off by the Fed.

VIX closed down over 7% on the week and VXN lost almost 12%.  VXN went out at a discount to VIX which in normally the result of VIX climbing in anticipation of macroeconomic concerns.  However, VIX is not climbing and was even down a touch on Friday despite the S&P 500 dropping by over 12 points.   Also, the futures markets are pricing in VXN going back to a normal premium relative to VIX in short order as the October VXN contract went out at a 0.70 premium to October VIX.


The posts on this blog are opinions, not advice.
Please read our disclaimer for Indices.

Post a Comment

Thank you for submitting a comment. We ask you to use the comment guidelines to promote thoughtful and productive discussions. Your comment will be approved before it will be posted. Thank you for your patience.

Required fields are marked *


You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

  • Categories

  • Recent Comments

  • Tags

  • Subscribe to
    VIX Views
  • Contributors


  • Quick Links

  • Blogroll

  • Follow Us

  • Archives