This is a stark change in correlation, and may have only to do with Expiry, or something even bigger, and Expiry is big. It is important for HBB to steal quarters from the market at all time, every chance they get, that is why expiry is so important to them.
needless to say my puts are not liking this non-correlation but FX shorts are loving it. I think the Indices will catch up, but I need to really review the charts before getting too firm on that view.
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update-my charts are kind of in no-mans land, the SPX triangle is still in play.
The put call is kind of on the low side, especially from the Aug timeframe of whence it has been elevated.
Expiry games, indeed.
I could see that too, a push higher into Wed of expiry, scaring bears, and then Whammo, so that the numerous call holders don't get paid.
Austiknight posted on Daneric
Yep, VIX-piry would match up nicely with price and time...
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