Equity markets were up as the uncertainty about Japan seem to resolve, and volatility markets were down. Implied volatility in the VIX options also fell, and skew has declined significantly. While I think the thread of radiation leak and consequences are still a real possibility, VIX and VSTOXX do not reflect it as an issue. My plan is to trade defensively this week, adding gamma whenever seems reasonable.
GVZ futures had their debut on Friday, trading a total of zero contracts. I created a plot using settlement values. I really hope that CBOE will figure out a way to bring liquidity into the product, but I'm pessimistic that it will happen.