VIXY·ProShares VIX Short-Term Futures ETF

VIXY (ProShares VIX Short‑Term Futures ETF) is a fund giving leveraged daily exposure to VIX. On Nov 5, the Cboe Volatility Index surged to its highest level since April 2025 as the S&P 500 fell 4.4 % and the Nasdaq 100 dropped more than 6 %, with first‑month VIX futures showing unprecedented backwardation and widened bid‑ask spreads in S&P 500 options, indicating a sharp rise in hedging activity. The same day, a 6.4 % decline in the Nasdaq 100 erased $2.5 trillion in market value amid fears that a Democratic midterm victory could stall AI infrastructure expansion, prompting retail investors and hedge funds to dump stocks and further inflating the VIX. The Nasdaq Composite fell 4.5 % to 24,573.2, entering correction territory, while the S&P 500 and Dow Jones Industrial Average declined 3.4 % and 2.6 % respectively, with technology stocks leading the slide and contributing to the volatility spike. In contrast, a post‑election rally on the same day saw the VIX drop sharply as equity prices rose, reflecting a temporary easing of market uncertainty and a boost in investor confidence. These reports together illustrate how sharp equity selloffs, political and technological concerns, and shifts in hedging demand drove the VIX’s dramatic movements on Nov 5.