Stocks Surging into Final Hour on US Economic Data, Short-Covering, Performance Angst, Financial/Homebuilding Sector Strength

Today's Market Take:

Broad Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• VIX 12.45 -4.74%

• ISE Sentiment Index 77.0 -28.7%

• Total Put/Call .82 -15.46%

• NYSE Arms .69 -55.51%

Credit Investor Angst:

• North American Investment Grade CDS Index 70.08 -2.16%

• European Financial Sector CDS Index 130.83 -2.24%

• Western Europe Sovereign Debt CDS Index 87.17 -3.51%

• Emerging Market CDS Index 246.38 +.58%

• 2-Year Swap Spread 14.5 +.5 bp

• TED Spread 24.25 -.5 bp

• 3-Month EUR/USD Cross-Currency Basis Swap -17.25 -.5 bp

Economic Gauges:

• 3-Month T-Bill Yield .03% unch.

• Yield Curve 170.0 +7 bps

• China Import Iron Ore Spot $123.10/Metric Tonne -1.52%

• Citi US Economic Surprise Index -17.5 +5.6 points

• 10-Year TIPS Spread 2.26 unch.

Overseas Futures:

• Nikkei Futures: Indicating +272 open in Japan

• DAX Futures: Indicating +57 open in Germany

Portfolio: 

• Higher: On gains in my biotech/retail/tech sector longs and emerging markets shorts

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 75% Net Long