Stocks Rising on Diminished Global Growth Fears, Yen Weakness, Short-Covering, Retail/Financial Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Mixed
  

• Volume: Light

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 10.62 -1.85%

• Euro/Yen Carry Return Index 145.21 +.07%

• Emerging Markets Currency Volatility(VXY) 5.95 +.34%

• S&P 500 Implied Correlation 45.89 -1.48%

• ISE Sentiment Index 92.0 -26.88%

• Total Put/Call .96 +10.34%

• NYSE Arms .66 +6.28% 

Credit Investor Angst:

• North American Investment Grade CDS Index 55.95 -1.80%

• European Financial Sector CDS Index 60.46 -3.51%

• Western Europe Sovereign Debt CDS Index 31.46 +.30%
• Asia Pacific Sovereign Debt CDS Index 71.86 +.46%

• Emerging Market CDS Index 235.16 -.74%

• China Blended Corporate Spread Index 304.66 unch.
• 2-Year Swap Spread 13.5 +.25 basis point

• TED Spread 22.75 -.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -11.25 -.75 basis point

Economic Gauges:

• 3-Month T-Bill Yield .01% unch.

• Yield Curve 215.0 +2.0 basis points

• China Import Iron Ore Spot $96.50/Metric Tonne +1.90%

• Citi US Economic Surprise Index -9.40 +9.2 points

• Citi Emerging Markets Economic Surprise Index -8.80 unch.

• 10-Year TIPS Spread 2.26 +2.0 basis points

Overseas Futures:

• Nikkei Futures: Indicating +112 open in Japan

• DAX Futures: Indicating +3 open in Germany

Portfolio: 

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

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

• Market Exposure: Moved to 75% Net Long