Stocks Falling into Final Hour on Less US Economic Optimism, Less Financial Sector Optimism, Rising Global Growth Fears, Profit-Taking

Broad Market Tone:

• Advance/Decline Line: Substantially Lower
  
• Sector Performance: Almost Every Sector Declining
  
• Volume: Below Average
  
• Market Leading Stocks: Outperforming
  

Equity Investor Angst:

• VIX 17.95 +7.49%
  
• ISE Sentiment Index 88.0 -10.20%
  
• Total Put/Call .97 -3.19%
  
• NYSE Arms 1.64 +3.45%
  

Credit Investor Angst:

• North American Investment Grade CDS Index 101.23 +2.34%
  
• European Financial Sector CDS Index 236.75 +.50%
  
• Western Europe Sovereign Debt CDS Index 272.76 +.10%
  
• Emerging Market CDS Index 258.95 +1.23%
  
• 2-Year Swap Spread 28.75 -.25 basis point
  
• TED Spread 39.25 .5 basis point
  
• 3-Month EUR/USD Cross-Currency Basis Swap -54.0 unch.
  

Economic Gauges:

• 3-Month T-Bill Yield .08% +1 basis point
  
• Yield Curve 172.0 -11 basis points
  
• China Import Iron Ore Spot $147.60/Metric Tonne unch.
  
• Citi US Economic Surprise Index 4.60 -2.3 points
  
• 10-Year TIPS Spread 2.23 -5 basis points
  

Overseas Futures:

• Nikkei Futures: Indicating a +48 open in Japan
• DAX Futures: n/a
  

Portfolio:

• Slightly Lower: On losses in my Tech, Retail, Medical and Biotech sector longs
  
• Disclosed Trades: Added to my (IWM)/(QQQ) hedges and to my (EEM) short
  
• Market Exposure: Moved to 50% Net Long