The latest CFTC Commitments of Traders report reveals a complex landscape in the futures market, with increased net buying of index products, including the Nasdaq 100 (NDX). This trend indicates a positive sentiment towards equity market performance, as evidenced by a rise in long positions by 6,000 contracts. The ongoing bullish sentiment is further supported by increased short positions in the VIX, suggesting a reduced demand for volatility protection. This optimism in the equity markets is reflected in the Nasdaq 100's performance, which has reached a new 52-week high, driven by investor confidence in the market's upward trajectory.
The ProShares UltraPro Short QQQ ETF (SQQQ) experienced a decline, dropping 2.13% to $28.94 at 4:00 PM on Friday, December 13.