The ProShares Ultra VIX Short-Term Futures ETF (UVXY) experienced a significant pre-market surge of 13.93% on Friday, as market volatility increased following President Trump's threat of new tariffs against Apple and the European Union. This move reflects growing investor concerns about potential trade tensions and their impact on the global economy.

The CBOE Volatility Index, often referred to as the market's "fear gauge," jumped to nearly 25 from 20.28 the previous day. As UVXY is designed to track short-term VIX futures, the ETF's price typically amplifies movements in the VIX, explaining its sharp pre-market rally.

While the current VIX level is still well below its recent highs of over 50 seen in early April, the sudden increase suggests that investors are bracing for potential market turbulence in the coming weeks. Traders should remain cautious, as changes in the VIX and related options markets can have cascading effects on the broader stock market due to interconnected positions held by investment banks.