The -1X Short VIX Futures ETF (SVIX) experienced a significant surge of 7.31% in after-hours trading on Monday, as fears of a prolonged period of market volatility appeared to subside.
SVIX is an inverse exchange-traded fund (ETF) that aims to provide the opposite return of the VIX futures index, a widely followed measure of expected volatility in the stock market. A rise in SVIX typically indicates a decline in expected market volatility or VIX futures prices.
The surge in SVIX came after a turbulent trading session earlier in the day, where the VIX index spiked to a high of 65 in pre-market trading, fueling concerns about a potential "Volmageddon 2.0" event. However, as the trading day progressed, volatility levels gradually subsided, with the VIX index closing at a more moderate level of 28.
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