Vix futures price strong dollar moves and Treasury yield

Strong dollar moves and Treasury yield adjustments have kept the "VIX futures price" slightly elevated from its monthly lows, showing that cross-asset flows still shape volatility expectations alongside equities. I Wrote That $420 Was the ‘Magic Number’ for Tesla Stock. Here’s How to Trade Its Next Move Higher. However, that's below the cash "VIX," which is at 31.5, and means the market is in what's known as backwardation. That's a condition that occurs when heightened anxiety about stocks in the near term pushes the cash price above the futures price, with the latter usually trading at a premium because of the extra chance of shocks over a longer time period. Today’s "VIX futures price" suggests subdued fear, but seasoned equity traders warn that compressed volatility can precede sharp spikes. The smoother market tone might be temporary if inflation readings exceed expectations.