Volatility Views 699: Something is REALLY Spooking This Market
Summary
Volatility Views features a live market review as VIX spikes above 22 on inflation fears and Treasury liquidity concerns. Hosts are joined by Purdue University professor Larissa Demiak and regular guest Russell Rhodes, who analyze the wild term structure and heavy options flow. The episode highlights specific VIX options trades, including deep put spreads and short call strategies, while discussing the implications of rising rates for equity volatility.
Topics discussed
Show intro and sponsor information
Welcome to Volatility Views and guest introduction
Guest background and location at Purdue University
Luisa's career overview and relationship with Russell
Weekly market review and VIX sell-off analysis
Live VIX and VVIX levels and weekly comparisons
Discussion on VIX term structure and volatility spikes
Academic perspective on market sensitivity and CPI
VIX trading recommendations and midweek spikes
Market catalysts: PPI, AI valuation, and inflation
Treasury liquidity concerns and dealer feedback
Trade recap and VIX cash-future spread analysis
VIX term structure inversion and monthly spikes
Historical comparisons and unexpected market events
VIX weekly trades and curve metrics update
VIX options flow: Top 10 calls and puts
Detailed breakdown of VIX options volume
Russell's Weekly Rundown: Unusual options activity
Analysis of specific VIX call and put trades
Review of spread trades and margin requirements
Discussion on naked short options and capital efficiency
Call skew dynamics and risk management strategies
VIX call flow: Focus on 20s and higher strikes
VIX put flow and weekly volume breakdown
Tuesday and Wednesday VIX options activity review
Audience survey results on VIX upside expectations
Lessons from VIX futures premium and arbitrage
Market sentiment and potential for further spikes
SVIX options flow and unusual activity
Host's trading restrictions and broker issues
Overview of Volatility ETFs and ETPs
UVXY and VXX performance and volume analysis
VXX volume surge and market implications
Crystal Ball segment: Reviewing last week's predictions
Guest's VIX prediction for next week
Russell's VIX prediction and final scores
Closing remarks and future collaboration plans
Show outro and upcoming segments
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