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VIX Under Oil Shock Regimes

Where Should VIX Trade? Lessons from $147 Oil

Manuel Ritsch's avatar
Manuel Ritsch
Mar 06, 2026
∙ Paid

Introduction

The US-Israeli military campaign against Iran—including the decapitation strike on Supreme Leader Khamenei—has triggered a de facto closure of the Strait of Hormuz via insurance withdrawal. Brent crude has surged 26% this week. This note examines VIX behavior across three historical oil spike episodes to establish reference ranges for volati…

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