Stocks Slightly Lower into Final Hour on Rising Asian Debt Angst, Technical Selling, Profit-Taking, REIT/Telecom Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 13.35 -.30%
• Euro/Yen Carry Return Index 135.72 -.11%
• Emerging Markets Currency Volatility(VXY) 9.97 +2.15%
• S&P 500 Implied Correlation 47.91 -1.40%

• ISE Sentiment Index 113.0 +7.62%

• Total Put/Call .89 +14.10%

• NYSE Arms 1.0 -9.32% 

Credit Investor Angst:

• North American Investment Grade CDS Index 74.77 -1.12%

• European Financial Sector CDS Index 140.99 -1.22%

• Western Europe Sovereign Debt CDS Index 86.50 -.20%

• Emerging Market CDS Index 304.62 -.72%

• 2-Year Swap Spread 16.75 +.75 bp

• TED Spread 23.0 -.5 bp

• 3-Month EUR/USD Cross-Currency Basis Swap -9.25 -.25 bp

Economic Gauges:

• 3-Month T-Bill Yield .03% unch.

• Yield Curve 227.0 -2 bps

• China Import Iron Ore Spot $129.90/Metric Tonne -.76%

• Citi US Economic Surprise Index 4.0 +11.6 points
• Citi Emerging Markets Economic Surprise Index -27.40 +.7 point

• 10-Year TIPS Spread 2.20 +5 bps

Overseas Futures:

• Nikkei Futures: Indicating -58 open in Japan

• DAX Futures: Indicating +3 open in Germany

Portfolio: 

• Higher: On gains in my biotech/medical/retail sector longs and emerging markets shorts
• Disclosed Trades: Added to my (IWM)/(QQQ) hedges, then covered some of them
• Market Exposure: 50% Net Long