Stocks close lower despite late rally
Chris McKhann | email@example.com
Equity indexes came off well their lows but still finished down yesterday, as did the CBOE Volatility Index.
The S&P 500 fell 9.04 points to close at 1631.38. It spent the first hour or so in positive territory, then traded as low as 1623.62. It climbed into the close, regaining much of its lost territory. It has support at 1623 and resistance at 1670.
The Nasdaq 100 lost 17.09 points to end the session at 2973.69. It followed the same pattern as the SDX, but the NDX's close was its lowest since May 9. It has support at 2950 and resistance at 3027.
The Russell 2000 gave up 8.56 points to finish at 981.97. It has support at 973 and resistance at 1000.
The VIX slipped 0.01 points to close at 16.27. The volatility index opened the day by breaking below 16, then climbed back above 17 before falling in the last couple of hours.
The VIX futures, however, kept their gains. The June contracts were up 0.10 points to 16.10, and the July futures rose 0.05 points to 17.05. This had the iPath S&P 500 VIX Short-Term Futures Note (VXX) up 1.2 percent to $19.34.
Video: Traders sell bounce in VIX
September 4, 2015
The volatility index has popped back above 27, but the CME's Russell Rhoads says traders are selling calls apparently in the belief that the VIX won't skyrocket.
Videocast: How to hedge volatility
September 3, 2015
Russell Rhoads of the CME explains the pros and cons of leveraged exchange-traded funds that are based on VIX futures.
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.