VIX Is Broken

VIX, Wall Street's fear index, which has been nearing record highs in recent days, has failed to open this morning.

A notice on Cboe’s website said the opening for S&P 500 and VIX products has been delayed.

As indicated in a previous notice, due to a limit down state on the E-mini S&P 500 future the Cboe Options Exchange Global Trading Hours ("GTH") session opening for SPX and VIX products has been delayed under Cboe Rule 5.20.

Cboe will send an update when the limit down state has been resolved and a resumption time has been determined.

VIX futures signal an open around 56 for spot VIX...

But the VIX futures term structure (m8-m2) is the most inverted ever...

Market functions are starting to breakdown under the pressure. Talk of closing markets grows louder.