Stocks Reversing Lower into Final Hour on Escalating Russia-Ukraine/Mideast Tensions, Surging Eurozone Debt Angst, Global Growth Fears, Biotech/Energy Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Almost Every Sector Declining
  

• Volume: Slightly Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 16.68 +1.89%

• Euro/Yen Carry Return Index 142.34 -.22%

• Emerging Markets Currency Volatility(VXY) 7.10 +2.60%

• S&P 500 Implied Correlation 59.25 +.15%

• ISE Sentiment Index 100.0 +9.89%

• Total Put/Call .93 -16.96%

• NYSE Arms 1.73 +34.09% 

Credit Investor Angst:

• North American Investment Grade CDS Index 67.70 +2.54%

• European Financial Sector CDS Index 78.70 +6.89%

• Western Europe Sovereign Debt CDS Index 40.08 +2.35%
• Asia Pacific Sovereign Debt CDS Index 76.22 +2.60%

• Emerging Market CDS Index 298.19 +1.24%

• China Blended Corporate Spread Index 317.55 +1.27%
• 2-Year Swap Spread 22.0 +1.25 basis point

• TED Spread 21.75 +.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -11.75 +.5 basis point

Economic Gauges:

• 3-Month T-Bill Yield .03% +1.0 basis point

• Yield Curve 298.0 -3.0 basis points

• China Import Iron Ore Spot $96.0/Metric Tonne +.10%

• Citi US Economic Surprise Index 2.6 +2.6 points

• Citi Emerging Markets Economic Surprise Index -.9 +.2 point

• 10-Year TIPS Spread 2.23 unch.

Overseas Futures:

• Nikkei Futures: Indicating -260 open in Japan

• DAX Futures: Indicating -56 open in Germany

Portfolio: 

• Slightly Higher: On gains in my index hedges and emerging markets shorts

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

• Market Exposure: Moved to 25% Net Long