Authored by Simon White, Bloomberg macro strategist,
The VIX is rising against the volatility of at-the-money options - i.e. those whose expiry is close to where the S&P is currently trading - as the price of upside and downside protection adjusts to evolving risks from the Federal Reserve and geopolitics.
The VIX has been preternaturally low versus almost everything else - from cross-asset vol to realized volatility - for some time.
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