With a couple of quick intraday exceptions, GLD has been stuck in a 170 – 174 range in October. This dull trading activity has carried over to GVZ which is now at 15.72 which is just over a point off this year’s lows and about 3.5 points under average. As October expiration approaches the short end of the curve continues to gravitate down to the index and November also dropped over 2.5% with the index only losing 1% in value.
The price of oil based on USO was slightly higher and so was OVX which was rose by almost 3%. There was a bit of unusual activity on the curve as all contracts were higher except for December. First I double checked the number then I dug a little for a potential event that might impact energy markets which resulted in an unusual shift in the curve. I found nothing, but welcome suggestions as to this phenomenon in this space.