The Option Market is Calling BS on Today’s Stock Market Rally

VIX Futures fail to fall will the rally in stocks after 10am

VIX Futures fail to fall will the rally in stocks after 10am

The days following FOMC announcements are usually something to behold, and today will be etched in our memories as one of the great rallies of our time. I will let the charts do the talking, but it is safe to say that today’s rally was insured against a crash in a big way, with the VIX futures curve staying elevated despite a ferocious rally.

Keep your eyes peeled for the BOJ interest rate decision tonight. Markets will be looking to see if they remain dovish, despite concerns some have expressed about the unintended consequences of increased monetary stimulus.

SPYIWM

TLT

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