The VIX - the stock market volatility index, or fear index, will soar and UVXY stock is the way to profit from the VIX seeing a spike in volatility. UVXY stock is a VIX ETF. The VIX is pushing lower on relaxed expectations for stock market movements lower. But, this week there are two key economic indicators that will likely show increasing inflation pressures along with bond yields heading higher. This will pressure stock valuations - the stock market will sell off. This will push stock market participants, wanting to protect their positions, to buy into stock options - put options on SPY stock, pushing up the VIX & UVXY stock.
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