Arab Today, arab today share issuance of volatility product to resume
Last Updated : GMT 05:46:51
Arab Today, arab today
Arab Today, arab today

Share issuance of volatility product to resume

Arab Today, arab today

Arab Today, arab today Share issuance of volatility product to resume

Washington - Arabstoday

Credit Suisse said it will resume issuance of shares of a controversial leveraged exchange-traded product that roiled markets a month ago. The announcement on Thursday came just after the VelocityShares Daily 2X Long VIX Short-Term exchange traded note (TVIX.K) saw its price fall by 29 percent in its heaviest day of trading since mid-February. Volumes in the ETN surged in mid-February as investors increasingly turned to exchange-traded products as a way to bet on or hedge against volatility. But the rise in volume was a concern to Credit Suisse, which stopped issuing shares, citing \"internal limits\" for the size of the ETN. There were concerns that demand for the security would start to have an undue influence on the volatility futures market, rather than tracking those contracts. Shares will be issued again on a limited basis, the company said in a statement. The VIX - the CBOE Volatility Index .VIX - is the market\'s favored gauge of investor anxiety. It is not a traded index, but futures contracts trade on the CBOE, and a handful of exchange-traded products track those futures contracts. Niche exchange-traded products have at times come to dominate trade in parts of the market. After Credit Suisse suspended share issuance in late February, volumes declined - at least until Thursday. Shares hit an intraday year low of $9.70 before closing at $10.20 Thursday, with more than 30 million shares traded. It was trading at a big premium to its net asset value, which has been increasing since Credit Suisse stopped creating new shares. Signs that this product could be influencing VIX futures can be seen in trading on February 10, 13, and 14. On those days, the stock market was relatively quiet, with the S&P 500 .SPX moving by no more than 0.7 percent in either direction. But volume in VIX futures spiked to more than 100,000 contracts each day, according to CBOE data, the most since the August 2011 week when the United States had its credit rating downgraded from triple-A.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today share issuance of volatility product to resume Arab Today, arab today share issuance of volatility product to resume

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today share issuance of volatility product to resume Arab Today, arab today share issuance of volatility product to resume

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque
Arab Today, arab today Seeks to move past rift with Israel

GMT 08:00 2017 Monday ,08 May

Seeks to move past rift with Israel
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday