$2x Long VIX Futures ETF(UVIX.US) rose by four or five points, while $iShares barclays 20+ Yr Treasury Bd(TLT.US) and $iShares 0-3 Month Treasury Bond ETF(SGOV.US) remained completely flat.
VIX moved up from a low level to 16.73, but the bond market didn't pick up any safe-haven orders at all—the long-end yield stayed steady at 4.57%, indicating that the market views the stock decline as a clearance of local overcrowding rather than a macroeconomic risk event.
When volatility tools move but duration tools don't, this combination historically implies that the downward trend is difficult to self-reinforce, unless subsequent data drags the bond market down as well.
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