Single Stock Volatility Jumps to a Record Vs. The VIX® Index
Single‑stock volatility surged to a near‑one‑year high of 45% as measured by the VIXEQSM Index, while the broader VIX Index slipped to 15.8%, creating a record 29‑point spread. The divergence stems from historically low correlations among stocks, driven by idiosyncratic factors such as earnings surprises and AI‑related news. Options demand has shifted heavily toward calls, with 35% of S&P 100 stocks showing inverted 3‑month call skew, especially in tech and energy. Meanwhile, the 1‑month rolling correlation between the S&P 500 and the 10‑year Treasury fell to –87%, the lowest level recorded since 1962, eroding traditional bond‑stock diversification benefits.
Upside Chasing in Tech Stocks Surges to Covid Extremes
The S&P 500 climbed over 9% in the past month, driven almost entirely by a 20% surge in the technology sector. Meanwhile, index volatility has stayed muted even as single‑stock volatility spikes, pushing the VIX‑VIXEQ spread to the 98th percentile. Retail...
SPX® Realized Skew Inverts as Traders Focus on Right Tail
Traders are pivoting toward the right tail of the SPX options market as realized skew flips. Brent crude surged past $126 per barrel, while the VIX slipped to a three‑month low of 16.9% as the S&P 500 hit an all‑time high...
The State of the Options Industry: Q1 2026
Options activity surged in Q1 2026, with market‑wide average daily volume reaching 68.6 million contracts, a 13.6% rise from the prior year. Index and ETF options led the expansion, posting 22% and 24% growth respectively, while VIX options delivered the second‑best quarter...
“Spot Up, 'VIX' Up” As Investors Hedge Record Highs in US Equities
Investors are hedging even as U.S. equities hit record highs, pushing the Cboe VIX Index up 1.25 points to 18.7. The rise stems from higher fixed‑strike volatilities and aggressive risk‑reversal selling, steepening the volatility skew to the 60th percentile. Strong...
SPX® Options Positioning Reverses as FOMO Sets In
CBOE’s Macro Volatility Digest shows implied volatility across asset classes fell to long‑term averages as optimism grew over a potential US‑Iran peace deal. Oil options still exhibit an inverted call skew, signaling lingering conflict risk despite the broader calm. Since...
Cboe Launches Two New Indices in Q1 2026
Cboe Global Indices introduced two new rule‑based products in Q1 2026: the Cboe Validus Russell 2000® Dynamic PutWrite Index (RUTD) and the Cboe Validus Russell 2000® Dynamic BuyWrite Index (CALRD). RUTD overlays short‑dated put options on the Russell 2000 with cash collateral earning the...
Market Metrics That Matter: Cboe FX March Volume Highlights
Cboe FX posted a record‑breaking Spot Average Daily Volume of $74.5 billion in March 2026, a 42.9% jump from a year earlier. The platform also set single‑day highs of $109.1 billion on March 3 for Spot and $6.7 billion on March 6 for its SEF. ECN Firm...
Market Metrics That Matter: Derivatives March Volume Highlights
Cboe reported record-breaking derivatives activity in March 2026, with index options averaging 6.9 million contracts daily, cementing a historic first‑quarter volume. S&P 500 (SPX) options hit a 5.4 million contract ADV, while mini‑SPX (XSP) and Bitcoin ETF (CBTX) options set new monthly highs....
SPX® Call Demand Jumps on TACO Optimism
The Cboe Macro Volatility Digest reported that the VIX Index jumped 4.3 points to 31, its highest level since last April, while the broader options market remained relatively calm. The SPX Index fell 3.4% on Thursday and Friday, yet call...
Gold Loses Its Luster as Stagflation Risk Jumps on Iran War
Gold’s price has slumped more than 15% this month as stagflation concerns surge following the Iran war, and the market now assigns roughly a 30% chance of a Fed rate hike by year‑end, up from expectations of multiple cuts a...
SPX Box Spreads: What Every Advisor Should Know
Advisors are increasingly considering SPX short box spreads as an alternative financing tool. The strategy involves a four‑leg options package that delivers cash today in exchange for a known liability at expiration, effectively acting like a zero‑coupon bond. Because SPX...
Market Metrics That Matter: Derivatives February Volume Highlights
Cboe reported record February trading activity across its derivatives platform. S&P 500 index options (SPX) posted a historic average daily volume of 4.75 million contracts, with zero‑days‑to‑expiry (0DTE) trades accounting for 63% of that flow. Mini‑S&P 500 (XSP) and Russell 2000 (RUT) options also...
Cross-Asset Vols Spike on Iran Risk as Oil Surges
Cross‑asset implied volatilities surged after U.S. and Israeli strikes on Iran, with oil 1‑month vol jumping 7 points and the skew inverting through the 6‑month curve – a pattern last seen during the 2022 Russia‑Ukraine war. Credit volatility also spiked,...
SPX Skew Steepens to 1Y High as Tariff Uncertainty Rises
Cboe’s Macro Volatility Digest shows SPX 1‑month options skew climbing to its highest level in a year. The steepening reflects heightened uncertainty from evolving U.S. tariff policy, geopolitical tensions and lingering AI concerns, while oil volatility spiked to 52%. Equity...