Stocks Slightly Higher into Final Hour on Lower Long-Term Rates, Short-Covering, Homebuilding/REIT Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: About Even
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 15.31 -2.92%
• Euro/Yen Carry Return Index 136.20 -.55%
• Emerging Markets Currency Volatility(VXY) 11.39 -3.72%
• S&P 500 Implied Correlation 49.26 -1.83%

• ISE Sentiment Index 105.0 -10.26%

• Total Put/Call .86 +6.17%

• NYSE Arms .71 +23.62% 

Credit Investor Angst:

• North American Investment Grade CDS Index 81.72 -2.29%

• European Financial Sector CDS Index 146.05 -.65%

• Western Europe Sovereign Debt CDS Index 91.0 unch.

• Emerging Market CDS Index 329.83 -3.99%

• 2-Year Swap Spread 15.75 +.5 bp

• TED Spread 24.25 unch.

• 3-Month EUR/USD Cross-Currency Basis Swap -10.25 +.25 bp

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 247.0 unch.

• China Import Iron Ore Spot $134.10/Metric Tonne -2.19%

• Citi US Economic Surprise Index 56.50 +3.1 points
• Citi Emerging Markets Economic Surprise Index -15.0 +.8 point

• 10-Year TIPS Spread 2.08 unch.

Overseas Futures:

• Nikkei Futures: Indicating +45 open in Japan

• DAX Futures: Indicating -15 open in Germany

Portfolio: 

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