Stock recover early losses; VIX at 14
Chris McKhann | email@example.com
Equity indexes were mixed at the end of yesterday's session after recovering morning losses, quelling fears that the previous session's sharp selloff would continue.
The S&P 500 lost less than 5 points to close at 1650.51 after dipping to 1636.42 at the open. It was briefly positive with a little more than an hour left to trade but then settled back. Resistance is at 1687 and support at 1630.
The Nasdaq 100 was down 7.68 points, finishing at 2991.45. It fell below 2967 before recovering, also turning positive very briefly. Resistance is at 3053 and support at 2960.
The Russell 2000 was higher at the end of the day, gaining 2.03 points to 984.28. It had fallen to 970 but finished essentially at the high of the day, staying positive for most of the last 90 minutes. Resistance at 1008 and support at 968.
The CBOE Volatility Index was up 0.25 points, or 1.81 percent, to 14.07. The VIX jumped to 15.11 just after the open and then fell below 14 during the lunch hour, but it remained in positive territory all day.
The VIX futures were all higher as well, with the June contracts gaining 0.20 points to 15.50 and the July futures up 0.15 points to 16.55. That boosted the iPath S&P 500 VIX Short-Term Futures Note (VXX) to $18.78, a gain of 0.81 percent.
Video: What the VIX 'curve' shows
September 2, 2015
The CBOE's Russell Rhoads says nearer-term VIX futures are above the later contracts in what's known as "backwardation," indicating that higher volatility may not end right away.
Video: What VIX pits are seeing
September 1, 2015
Traders were buying VIX calls above the 40 level early in the session, but Group One's Mike Palmer says that activity quickly pulled back.
Video: Whipsaw moves in the VIX
August 31, 2015
Group One's Mike Palmer explains why the volatililty index saw broad swings right before and after the weekend. Traders are now focused on today's close.
Videocast: Volatility in September?
August 20, 2015
Group One's Jamie Tyrrell says traders are buying next month's calls on the volatility index, bracing against a pullback in the S&P 500.
Videocast: VIX draws September buyers
August 19, 2015
Group One's Jamie Tyrrell says large electronic buy programs are snapping up crash protection in the volatility index.