Summer has officially arrived in the vol markets. In this episode, Mark Longo and Russell Rhoads break down a week where the markets seemed to ignore everything from Middle East conflict to hot inflation numbers—until a Friday sell-off finally brought a splash of red to the screen.
The guys dive deep into the curious case of the "Unchanged Universe," where SVIX, UVIX, and VXX are sitting almost exactly where they were a week ago. Is this the start of a long, quiet "Volatility Summer," or is the market underestimating the impact of a new Fed regime?
Inside This Episode:
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The Volatility Review: A look at the VIX cash spike to 18.50 and the rare "smile" skew appearing in the NASDAQ and Russell 2000.
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China Sojourns & Tech Skew: Was there front-running ahead of the tech CEO trip to China?
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VIX Option Flow: Analyzing massive positions in the June 65 calls and an intriguing August 1x2 ratio spread.
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The "Unched" Report: Why SVIX and UVIX haven't moved in two weeks and what that means for your overriding strategies.
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Crystal Ball: Mark and Russell place their bets on where vol heads as we approach the Memorial Day holiday.
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