The YieldMax AI Option Income Strategy ETF (AIYY) is experiencing upward momentum, driven by a surge in market volatility that has significantly impacted the options market. The CBOE Volatility Index (VIX) saw its second-largest spike ever this week, creating an environment ripe for capturing higher premiums in S&P 500 options. This volatility is largely attributed to uncertainties surrounding the U.S. government shutdown and the Federal Reserve's policy direction for 2025. Despite these short-term uncertainties, there is a prevailing belief that the stock market will stabilize following a necessary repricing of megacap tech stocks, particularly those within the AI sector.
The AIYY ETF rose to $8.62, marking a 0.82% increase from the previous close as of 10:30 AM ET on December 20th.