Autocallable issuance upsets Euro Stoxx volatility market

Frenzied issuance on European indexes stacks up vega risk for dealers as natural hedge suffers

Dislocations in Euro Stoxx implied volatility

At the start of the eurozone's growth wobble last year, when the Euro Stoxx 50 index fell by almost 2% on October 7, equity derivatives traders noticed something odd. Three-year fixed-strike imp