News CBOE The CBOE plans to extend VIX® Futures trading by over 5 hours—aligning with the London Stock Exchange open, and adding a 45 minute post settlement trading period 4:30 ET to 5:15 ET Monday through Thursday. Two new volatility indexes, DLVIX and DSVIX are documented on the CBOE website. These indexes were developed in cooperation with the French bank Société Générale and are now …
Originally posted April 23, 2013 Around 3:40 ET I noticed that Schwab’s web presence was completely gone. StreetSmart Edge servers were not available, and www.Schwab.com was nowhere to be found. Signing onto Schwab later there was the following message: ………………………………………………………………………………………………… A Message From Schwab APRIL 23, 2013 — Shortly before the stock market closed today, we experienced an exceptionally high volume of website traffic which …
How does VXX trade? How is VXX’s value established? What does VXX track? How does Barclays make money on VXX? VXX’s 2022 share creation crises On 14-Mar-2022, Barclays suspended share creations of VXX due to an administrative screw-up. During the suspension, VXX traded at premiums as high as 52% over its IV price. This premium over the IV price can develop because share creations are …
Many people seem to believe that the CBOE’s VIX Futures market is attempting to predict upcoming CBOE VIX® values. I think they are mistaken. Most futures prices have very little to do with predicting the future. Futures contracts were invented to allow producers/consumer of commodities to limit their business risk by locking in future prices. In exchange for eliminating price risk, they give up the potential for increased …
The price of Herbalife ($HLF) has been relatively stable the last couple of weeks with the Icahn / Ackman tug-o-war in a tense tie. The historical volatility has been running around 26, but the IVs on the weekly options are relatively rich with the average running around 50. Currently a 35.5/37/39/40.5 iron condor is offering a .575 credit (midpoint) for the 12-April-13 options. …
