Stocks Dropping into Final Hour on Election Pessimism, Rising Eurozone Debt Angst, US Fiscal Cliff Worries, Global Growth Fears

 Broad Market Tone:

• Advance/Decline Line: Lower
  
• Sector Performance: Most Sectors Declining
• Volume: Slightly Below Average
• Market Leading Stocks: Underperforming

Equity Investor Angst:

• VIX 18.17 -4.77%
• ISE Sentiment Index 70.0 -4.2%
• Total Put/Call 1.09 -9.92%
• NYSE Arms 1.09 -52.91%

Credit Investor Angst:

• North American Investment Grade CDS Index 103.46 bps +3.23%
• European Financial Sector CDS Index 175.03 bps +.28%
• Western Europe Sovereign Debt CDS Index 112.59 bps +1.27%
• Emerging Market CDS Index 232.55 bps +.45%
• 2-Year Swap Spread 11.5 +1.25 basis points
• TED Spread 22.25 +.5 basis point
• 3-Month EUR/USD Cross-Currency Basis Swap -25.75 -.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .09% unch.
• Yield Curve 136.0 -1 basis point
• China Import Iron Ore Spot $121.40/Metric Tonne -.16%
• Citi US Economic Surprise Index 59.60 +9.1 points
• 10-Year TIPS Spread 2.46 -1 basis point

Overseas Futures:

• Nikkei Futures: Indicating -73 open in Japan
• DAX Futures: Indicating -1 open in Germany

Portfolio:

• Slightly Lower: On losses in my tech and retail sector longs
• Disclosed Trades: Added to my (AAPL) long, covered some of my (IWM)/(QQQ) hedges, then added them back
• Market Exposure: 25% Net Long