Stocks Higher into Final Hour on Better US Economic Data, Short-Covering, Investor Performance Angst, Transport/REIT Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Mixed
  

• Volume: Slightly Below Average

• Market Leading Stocks: Underperforming

Equity Investor Angst:

• Volatility(VIX) 13.53 -1.60%

• Euro/Yen Carry Return Index 138.94 -.28%

• Emerging Markets Currency Volatility(VXY) 8.60 +3.86%

• S&P 500 Implied Correlation 41.11 -1.06%

• ISE Sentiment Index 113,0 -3.42%

• Total Put/Call .93 +5.68%

• NYSE Arms .69 -45.03% 

Credit Investor Angst:

• North American Investment Grade CDS Index 73.77 +1.33%

• European Financial Sector CDS Index 116.62 -.69%

• Western Europe Sovereign Debt CDS Index 68.38 -2.31%

• Emerging Market CDS Index 277.54 +2.89%

• 2-Year Swap Spread 11.75 -.25 basis point

• TED Spread 20.25 -.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -4.25 -.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .04% unch.

• Yield Curve 231.0 +6 basis points

• China Import Iron Ore Spot $135.30/Metric Tonne +2.58%

• Citi US Economic Surprise Index 5.30 +1.5 points

• Citi Emerging Markets Economic Surprise Index -8.80 +2.3 points

• 10-Year TIPS Spread 2.14 -3 basis points

Overseas Futures:

• Nikkei Futures: Indicating +156 open in Japan

• DAX Futures: Indicating +19 open in Germany

Portfolio: 

• Slightly Higher: On gains in my biotech sector longs and emerging markets shorts

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges, then covered some of them

• Market Exposure: 50% Net Long