Since the VIX normally is used as a "fear gauge", he noted that was unusual, and asked what might have caused that.
Remember, it is a measure of near-term (30-day) activity for S & P 500 put and call options.
However, the put/call ratio has been low recently, between 0.7 and 0.8, as traders have been buying calls, betting the market will keep rising.
Eric Johnston at Piper Sandler agrees: "The call buying has been very strong as investors chase upside," he told me.
The recent events are that the market is rising, so the urge to buy protection declines: "When institutions get nervous, they seek protection in VIX.
Persons:
Joe Zicherman, Tuesday's, Matt Maley, Miller Tabak, There's, Mike O'Rourke, O'Rourke, Eric Johnston, Piper Sandler, it's, Danny Kirsch, Steve Sosnick
Organizations:
Fed, Jones, Interactive Brokers
Locations:
VIX