Stocks Falling into Final Hour on Rising Energy Prices, Growing Mideast Unrest, Profit-Taking, US Housing Concerns

Broad Market Tone:

• Advance/Decline Line: Substantially Lower
  
• Sector Performance: Every Sector Declining
  
• Volume: Above Average
  
• Market Leading Stocks: Underperforming
  

Equity Investor Angst:

• VIX 21.04 +28.06%
  
• ISE Sentiment Index 93.0 -18.42%
  
• Total Put/Call .97 +4.30%
  
• NYSE Arms 1.14 -15.59%
  

Credit Investor Angst:

• North American Investment Grade CDS Index 82.26 +3.08%
  
• European Financial Sector CDS Index 131.75 bps +2.30%
  
• Western Europe Sovereign Debt CDS Index 174.35 bps +.97%
  
• Emerging Market CDS Index 228.78 +4.62%
  
• 2-Year Swap Spread 23.0 +2 bps
  
• TED Spread 21.0 -bp
  

Economic Gauges:

• 3-Month T-Bill Yield .10% +1 bp
  
• Yield Curve 277.0 -6 bps
  
• China Import Iron Ore Spot $188.30/Metric Tonne -.48%
  
• Citi US Economic Surprise Index +76.60 +4.6 points
  
• 10-Year TIPS Spread 2.37% unch.
  

Overseas Futures:

• Nikkei Futures: Indicating -109 open in Japan
• DAX Futures: Indicating -34 open in Germany

Portfolio:

• Slightly Lower: On losses in my Technology and Retail long positions
  
• Disclosed Trades: Added to my (IWM)/(QQQQ) hedges, added to my (EEM) short
  
• Market Exposure: Moved to 50% Net Long