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

 Broad Market Tone:

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

Equity Investor Angst:

• VIX 18.87 +7.34%
• ISE Sentiment Index 83.0 -45.75%
• Total Put/Call 1.23 +29.47%
• NYSE Arms 1.61 +190.0%

Credit Investor Angst:

• North American Investment Grade CDS Index 99.42 bps +3.26%
• European Financial Sector CDS Index 174.55 bps +3.57%
• Western Europe Sovereign Debt CDS Index 111.18 bps -.03%
• Emerging Market CDS Index 231.80 bps +1.68%
• 2-Year Swap Spread 10.25 -.75 basis point
• TED Spread 21.75 -.25 basis point
• 3-Month EUR/USD Cross-Currency Basis Swap -25.5 +.25 unch.

Economic Gauges:

• 3-Month T-Bill Yield .09% unch.
• Yield Curve 137.0 -8 basis points
• China Import Iron Ore Spot $121.60/Metric Tonne +.41%
• Citi US Economic Surprise Index 50.50 -.2 point
• 10-Year TIPS Spread 2.47 -2 basis points

Overseas Futures:

• Nikkei Futures: Indicating -100 open in Japan
• DAX Futures: Indicating +38 open in Germany

Portfolio:

• Lower: On losses in my tech, biotech, medical and retail sector longs
• Disclosed Trades: Added to my (IWM)/(QQQ) hedges and added to my (EEM) short
• Market Exposure: Moved to 25% Net Long