Stocks Rising into Final Hour on Less Emerging Markets Debt Angst, Central Bank Hopes, Short-Covering, Telecom/Gaming Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Slightly Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 14.43 +.56%

• Euro/Yen Carry Return Index 145.99 -.11%

• Emerging Markets Currency Volatility(VXY) 8.89 -1.11%

• S&P 500 Implied Correlation 53.81 -.43%

• ISE Sentiment Index 156.0 +59.18%

• Total Put/Call .91 +7.06%

• NYSE Arms .80 -29.96% 

Credit Investor Angst:

• North American Investment Grade CDS Index 63.88 -1.0%

• European Financial Sector CDS Index 88.97 +.49%

• Western Europe Sovereign Debt CDS Index 53.0 unch.

• Asia Pacific Sovereign Debt CDS Index 102.44 -.59%

• Emerging Market CDS Index 305.45 -1.85%

• China Blended Corporate Spread Index 361.05 -.38%

• 2-Year Swap Spread 12.25 +1.0 basis point

• TED Spread 20.0 +.75 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -6.0 -.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .04% unch.

• Yield Curve 232.0 -2.0 basis points

• China Import Iron Ore Spot $118.0/Metric Tonne +.17%

• Citi US Economic Surprise Index -13.20 -1.8 points

• Citi Emerging Markets Economic Surprise Index 14.70 +1.4 points

• 10-Year TIPS Spread 2.17 unch.

Overseas Futures:

• Nikkei Futures: Indicating -35 open in Japan

• DAX Futures: Indicating +4 open in Germany

Portfolio: 

• Slightly Higher: On gains in my biotech/tech/mdedical sector longs

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

• Market Exposure: Moved to 50% Net Long