A round of political uncertainty swept through U.S. markets Wednesday, triggering a spike in risk-off sentiment and bolstering CBOE Volatility Index-related exchange traded funds.
On Thursday, the iPath S&P 500 VIX Short Term Futures ETN (NYSEArca: VXX) surged 18.2%, ProShares VIX Short-Term Futures ETF (NYSEArca: VIXY) jumped 18.1%, VelocityShares Daily Long VIX Short-Term ETN (NYSEArca: VIIX) increased 17.9% and REX VolMAXX Long VIX Weekly Futures Strategy ETF (BATS: VMAX) advanced 21.8%.
Meanwhile, the VIX gained 46.4% to 15.59 after touching a 24-year low earlier this month.
U.S. equities experienced one of their worst days in months on speculation that former FBI Chief James Comey hinted that President Donald Trump tried to intervene with a federal investigation, triggering a round of political risk-induced selling.