Stocks Falling into Final Hour on Rising Global Growth Fears, Rising Emerging Markets/European Debt Angst, Surging Yen, Financial/Retail Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Every Sector Declining
  

• Volume: Above Average

• Market Leading Stocks: Underperforming

Equity Investor Angst:

• Volatility(VIX) 21.24 +15.37%

• Euro/Yen Carry Return Index 142.57 -.71%

• Emerging Markets Currency Volatility(VXY) 10.30 +.59%

• S&P 500 Implied Correlation 62.26 +4.85%

• ISE Sentiment Index 86.0 -8.2%

• Total Put/Call .78 -10.34%

• NYSE Arms 2.71 +78.59% 

Credit Investor Angst:

• North American Investment Grade CDS Index 74.43 +4.31%

• European Financial Sector CDS Index 104.51 +3.44%

• Western Europe Sovereign Debt CDS Index 55.0 unch.

• Asia Pacific Sovereign Debt CDS Index 117.74 +1.40%

• Emerging Market CDS Index 347.33 +2.50%

• 2-Year Swap Spread 13.25 +.25 basis point

• TED Spread 21.50 -.75 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -6.75 +1.0 basis point

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 228.0 -4.0 basis points

• China Import Iron Ore Spot $122.60/Metric Tonne unch.

• Citi US Economic Surprise Index 32.60 -16.4 points

• Citi Emerging Markets Economic Surprise Index 13.0 +.5 point

• 10-Year TIPS Spread 2.13 unch.

Overseas Futures:

• Nikkei Futures: Indicating -430 open in Japan

• DAX Futures: Indicating -61 open in Germany

Portfolio: 

• Slightly Lower: On losses in my tech/biotech/medical/retail sector longs

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 25% Net Long