Bets Paying Off for Those Betting on Volatility Rebound: Chart

(Bloomberg) -- Traders who spent the past few weeks betting on a rise in equity swings are seeing their wagers pay off. The open interest for CBOE Volatility Index calls has surged 79 percent since the April monthly expiration, reaching a record 9.8 million contracts and more than three times the number of puts. The gauge of U.S. stock turmoil jumped as much as 29 percent on Wednesday as shares sank amid a crisis over Donald Trump’s presidency, with exchange-traded products that profit when it climbs rising the most since September.

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