Stocks Higher into Final Hour on Less Eurozone/Asian Debt Angst, Central Bank Hopes, Short-Covering, Homebuilding/Transport Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Almost Every Sector Rising
  

• Volume: Below Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• Volatility(VIX) 14.37 -2.77%

• Euro/Yen Carry Return Index 134.63 -.64%

• Emerging Markets Currency Volatility(VXY) 10.58 -1.76%

• S&P 500 Implied Correlation 50.31 -2.99%

• ISE Sentiment Index 94.0 -5.05%

• Total Put/Call .97 -5.83%

• NYSE Arms .64 -40.57% 

Credit Investor Angst:

• North American Investment Grade CDS Index 81.43 -2.24%

• European Financial Sector CDS Index 153.83 -4.13%

• Western Europe Sovereign Debt CDS Index 95.0 -1.04%

• Emerging Market CDS Index 325.07 -4.24%

• 2-Year Swap Spread 17.0 -.25 bp

• TED Spread 23.25 unch.

• 3-Month EUR/USD Cross-Currency Basis Swap -9.75 +.75 bp

Economic Gauges:

• 3-Month T-Bill Yield .04% unch.

• Yield Curve 226.0 -2 bps

• China Import Iron Ore Spot $123.70/Metric Tonne +1.48%

• Citi US Economic Surprise Index -12.0 +.1 point

• Citi Emerging Markets Economic Surprise Index -30.20 +1.2 points

• 10-Year TIPS Spread 2.05 -3 bps

Overseas Futures:

• Nikkei Futures: Indicating +80 open in Japan

• DAX Futures: Indicating +13 open in Germany

Portfolio: 

• Higher: On gains in my tech, biotech and retail sector longs

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

• Market Exposure: Moved to 75% Net Long