Woofun AI notes that weakening rally momentum and scrutinized earnings expectations indicate rising summer volatility. The Nations SkewDex index, measuring S&P 500 tail risks, has surged to its highest level since April, driven by rapid increases in hedging demand and the unwinding of AI-related trades. While the VIX remains below 20, sharp declines in core AI stocks are intensifying individual volatility, replacing earlier trends of simultaneous price and volatility gains.