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

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Light

• Market Leading Stocks: Underperforming

Equity Investor Angst:

• Volatility(VIX) 11.76 +.68%

• Euro/Yen Carry Return Index 144.41 -.05%

• Emerging Markets Currency Volatility(VXY) 6.97 -1.27%

• S&P 500 Implied Correlation 55.34 +.31%

• ISE Sentiment Index 99.0 -2.94%

• Total Put/Call .68 -24.44%

• NYSE Arms .90 -17.56% 

Credit Investor Angst:

• North American Investment Grade CDS Index 62.21 -1.13%

• European Financial Sector CDS Index 72.52 -.32%

• Western Europe Sovereign Debt CDS Index 34.86 -.56%
• Asia Pacific Sovereign Debt CDS Index 79.72 -.75%

• Emerging Market CDS Index 246.32 -2.30%

• China Blended Corporate Spread Index 348.68 +.77%
• 2-Year Swap Spread 13.0 +.5 basis point

• TED Spread 19.75 unch.

• 3-Month EUR/USD Cross-Currency Basis Swap -8.25 +.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .03% unch.

• Yield Curve 208.0 +1.0 basis point

• China Import Iron Ore Spot $95.70/Metric Tonne -1.14%

• Citi US Economic Surprise Index-2.90 -4.0 points

• Citi Emerging Markets Economic Surprise Index -19.30 unch.

• 10-Year TIPS Spread 2.23 +2.0 basis points

Overseas Futures:

• Nikkei Futures: Indicating +49 open in Japan

• DAX Futures: Indicating +11 open in Germany

Portfolio: 

• Higher: On gains in my medical/biotech/tech/retail sector longs

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

• Market Exposure: Moved to 75% Net Long