Stocks Rising into Final Hour on More US Economic Optimism, Short-Covering, Investor Performance Angst

Broad Market Tone:

• Advance/Decline Line: Higher
  
• Sector Performance: Almost Every Sector Rising
  
• Volume: Below Average
  
• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• VIX 16.26 -5.19%
  
• ISE Sentiment Index 142.0 +31.48%
  
• Total Put/Call .85 -3.41%
  
• NYSE Arms .77 -36.54%
  

Credit Investor Angst:

• North American Investment Grade CDS Index 93.55 -1.29%
  
• European Financial Sector CDS Index 233.63 -3.34%
  
• Western Europe Sovereign Debt CDS Index 275.25 unch.
  
• Emerging Market CDS Index 244.59 -2.73%
  
• 2-Year Swap Spread 27.75 -1.25 basis points
  
• TED Spread 38.5 +1.0 basis point
  
• 3-Month EUR/USD Cross-Currency Basis Swap -45.0 unch.
  

Economic Gauges:

• 3-Month T-Bill Yield .08% -1 basis point
  
• Yield Curve 169.0 +3 basis points
  
• China Import Iron Ore Spot $145.40/Metric Tonne unch.
  
• Citi US Economic Surprise Index -12.80 +1.2 points
  
• 10-Year TIPS Spread 2.28 +2 basis points
  

Overseas Futures:

• Nikkei Futures: Indicating a +54 open in Japan
• DAX Futures: Indicating +11 open in Germany
  

Portfolio:

• Slightly Higher: On gains in my Tech, Medical and Retail sector longs
  
• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges and some of my (EEM) short, then added them back
  
• Market Exposure: 50% Net Long