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

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 13.23 -4.89%

• Euro/Yen Carry Return Index 138.10 +.59%

• Emerging Markets Currency Volatility(VXY) 9.40 -.11%

• S&P 500 Implied Correlation 38.73 -5.31%

• ISE Sentiment Index 103.0 -3.74%

• Total Put/Call .84 -7.69%

• NYSE Arms .60 -60.26% 

Credit Investor Angst:

• North American Investment Grade CDS Index 71.99 -2.56%

• European Financial Sector CDS Index 106.25 -3.52%

• Western Europe Sovereign Debt CDS Index 66.48 +.67%

• Emerging Market CDS Index 300.04 +4.31%

• 2-Year Swap Spread 11.75 unch.

• TED Spread 18.5 +.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -2.75 +1.25 basis points

Economic Gauges:

• 3-Month T-Bill Yield .06% unch.

• Yield Curve 243.0 +11 basis points

• China Import Iron Ore Spot $135.90/Metric Tonne -.73%

• Citi US Economic Surprise Index 19.40 +6.4 points

• Citi Emerging Markets Economic Surprise Index -12.60 unch.

• 10-Year TIPS Spread 2.17 unch.

Overseas Futures:

• Nikkei Futures: Indicating +189 open in Japan

• DAX Futures: Indicating +9 open in Germany

Portfolio: 

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

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

• Market Exposure: Moved to 50% Net Long