VIX Surges Nearly 40% Today as Chip Stocks Plunge, Ending Two-Month Rally

According to BlockBeats, the Cboe Volatility Index (VIX) surged nearly 40% on June 6, marking its largest single-day gain since March this year, as the semiconductor sector pulled back sharply. The VanEck Semiconductor ETF (SMH) fell nearly 10% intraday, ending a two-month rally that had delivered approximately 80% cumulative gains.

S&P 500 index options volume reached a record 7.8 million contracts on Friday, up 16% from April levels. According to SpotGamma founder Brent Kochuba, single-stock option premiums have been abnormally elevated versus index options and are now resynchronizing, signaling the need for chip-sector cooling. Piper Sandler options head Danny Kirsch attributed the pullback to concentrated leverage in semiconductor ETFs, combined with major tech funding rounds and IPO issuance.