CBOE announced launch date for CBOE Short-Term VIX Options with weekly expirations
Chicago Board Options Exchange® (CBOE®) announced that it plans to launch trading of options with weekly expirations on the CBOE Short-Term Volatility IndexSM (ticker symbol: VXSTSM) on Thursday, April 10, pending regulatory approval.
The CBOE Short-Term Volatility Index and CBOE Volatility Index® (VIX Index®) are complementary. Like the VIX Index, the VXST Index reflects investors' consensus view of expected stock market volatility using CBOE's proprietary VIX methodology. Both indexes use S&P 500® Index (SPXSM) options in their calculations. The VIX Index uses SPX monthly options to measure expectations of 30-day volatility, while the VXST Index uses SPX options that expire every week (including SPX WeeklysSMoptions) to gauge expectations of nine-day volatility. The VXST Index's shorter time horizon makes it particularly responsive to short-term volatility triggered by market events such as corporate earnings, government reports and Fed announcements.