A big exchange-traded product tracking Wall Street’s “fear gauge” has been swinging wildly this week after
PLC said it would stop supporting the asset.
The $900 million
iPath Series B S&P 500 VIX Short-Term Futures Exchange-Traded Note,
known as VXX, soared as much as 45% intraday Tuesday before paring its gains to close down 0.4% to $28.70. It was halted at least five times in a frenetic trading session. On Wednesday, it shed 9.6% to $25.95.
Barclays said Monday that it was suspending further issuances of VXX and another exchange-traded note, the
iPath Pure Beta Crude Oil ETN,
which goes by the ticker OIL, because it doesn’t have “sufficient issuance capacity to support further sales from inventory and any further issuances of the ETNs.”
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