Stocks Falling into Final Hour on Rising Global Growth Fears, Rising Eurozone Debt Angst, US Election/Fiscal Cliff Uncertainty, Homebuilding/Tech/Commodity Sector Weakness

 Broad Market Tone:

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

Equity Investor Angst:

• VIX 17.21 +3.12%
• ISE Sentiment Index 146.0+15.9%
• Total Put/Call .89 -1.11%
• NYSE Arms 1.03 +31.62%

Credit Investor Angst:

• North American Investment Grade CDS Index 97.39 bps +1.15%
• European Financial Sector CDS Index 172.42 bps +.75%
• Western Europe Sovereign Debt CDS Index 109.93 bps +1.69%
• Emerging Market CDS Index 241.14 bps -.71%
• 2-Year Swap Spread 9.75 +.25 basis point
• TED Spread 22.0 unch.
• 3-Month EUR/USD Cross-Currency Basis Swap -25.5 -.75 basis point

Economic Gauges:

• 3-Month T-Bill Yield .09% unch.
• Yield Curve 143.0 unch.
• China Import Iron Ore Spot $120.10/Metric Tonne -.17%
• Citi US Economic Surprise Index 56.60 +5.2 points
• 10-Year TIPS Spread 2.48 -4 basis points

Overseas Futures:

• Nikkei Futures: Indicating -31 open in Japan
• DAX Futures: Indicating -36 open in Germany

Portfolio:

• Slightly Higher: On gains in my index hedges
• Disclosed Trades: None
• Market Exposure: 25% Net Long