VIX Futures Open Interest

The past trading days have witnessed record open interest for VIX futures contracts. The table below shows these record breaking numbers –

Day

Open Interest

Wednesday August 15th

369,386

Thursday August 16th

375,234

Friday August 17th

388,282

Monday August 20th

392,723

 

So exactly what is open interest and what does it mean for traders?

First, open interest represents the number of open futures contracts. Open interest depicts the total number of open long and short positions. As of the close yesterday there were 392,723 long and short positions in VIX futures. 

This means there’s over seven billion dollars of notional value in open interest as of the close!

For traders this shows VIX futures are a very liquid market and this liquidity continues to grow. Daily many market participants ready to take long and short positions. In fact the open interest is greater than some well-known futures that get more attention than VIX in the popular press.