News•Feb 23, 2026
SPX Skew Steepens to 1Y High as Tariff Uncertainty Rises
The Cboe report shows the S&P 500 1‑month skew surged to a one‑year high, reflecting heightened demand for downside protection as tariff policy uncertainty intensifies. Oil implied volatility spiked to 52% after fears of a US‑Iran conflict, while equity and rates vol fell following the Supreme Court’s decision to strike down Trump’s emergency tariffs. Small‑cap stocks outperformed the broader index, yet their own skew rose sharply, indicating robust hedging activity across the market. Dispersion expectations remain near pre‑earnings peaks, underscoring persistent single‑stock risk.
