Stocks Surging into Afternoon on Diminished Global Growth Fears, Less Emerging Markets Debt Angst, Yen Weakness, Biotech/Tech Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Almost Every Sector Rising
  

• Volume: Light

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• Volatility(VIX) 11.09 -4.15%

• Euro/Yen Carry Return Index 145.05 +.18%

• Emerging Markets Currency Volatility(VXY) 5.84 -1.18%

• S&P 500 Implied Correlation 47.84 -1.78%

• ISE Sentiment Index 116.0 +19.59%

• Total Put/Call .86 +2.38%

• NYSE Arms .93 -30.36% 

Credit Investor Angst:

• North American Investment Grade CDS Index -4.11%

• European Financial Sector CDS Index 62.83 -7.59%

• Western Europe Sovereign Debt CDS Index 31.0 +6.90%
• Asia Pacific Sovereign Debt CDS Index 72.53 -1.67%

• Emerging Market CDS Index 232.70 -1.96%

• China Blended Corporate Spread Index 310.37 +.81%
• 2-Year Swap Spread 12.75 unch.

• TED Spread 21.25 +.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -10.75 -.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 210.0 +3.0 basis points

• China Import Iron Ore Spot $94.20/Metric Tonne +.43%

• Citi US Economic Surprise Index -22.60 -.6 point

• Citi Emerging Markets Economic Surprise Index -8.40 -2.1 points

• 10-Year TIPS Spread 2.24 -1.0 basis point

Overseas Futures:

• Nikkei Futures: Indicating +115 open in Japan

• DAX Futures: Indicating +16 open in Germany

Portfolio: 

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

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

• Market Exposure: Moved to 75% Net Long