Volatility could easily rocket higher with a great deal of uncertainty, we noted Sept. 17.

In fact, volatility is spiking at the moment.  All thanks to rising bond yields, which just hit a high of 1.545%, the potential government shutdown if Congress fails to approve funding by this Friday, and default if the debt ceiling isn’t raised.

It’s why the Dow is down 606 points, with the NASDAQ down 420.

It’s also why the volatility trades we mentioned on Sept. 17 are also pushing higher, including:

ProShares Ultra VIX Short-Term Futures ETF (UVXY) 

The ETF was designed to match two times (2x) the daily performance of the S&P 500 VIX Short-Term Futures Index.  Since September 17, the UVXY ran from about $21.56 to $24.57. From here, it could run to $30 on wild bouts of market fear.

iPath S&P 500 VIX Short-Term Futures (VXX) 

The VXX ETN provides exposure to the S&P 500 VIX Short-Term Futures Index.  Since mid-September, the VXX ran from about $25.30 to $27.84.  It could also be headed to $30.

ProShares VIX Short-Term Futures ETF (VIXY)

ProShares VIX Short-Term Futures ETF provides long exposure to the S&P 500 VIX Short-Term Futures Index, which measures the returns of a portfolio of monthly VIX futures contracts with a weighted average of one month to expiration.  So far, the VIXY ran from $20.75 to $22.58.

With fear showing no signs of cooling, hedging for volatility is a smart move right now.