Stocks Surging into Final Hour on Central Bank Hopes, Less Eurozone/Emerging Markets Debt Angst, Earnings Optimism, Homebuilding/Healthcare Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: About Even
  

• Sector Performance: Most Sectors Rising
  

• Volume: Around Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 22.60 -10.32%

• Euro/Yen Carry Return Index 142.26 +.04%

• Emerging Markets Currency Volatility(VXY) 8.40 -2.78%

• S&P 500 Implied Correlation 69.42 +2.86%

• ISE Sentiment Index 98.0 +38.03%

• Total Put/Call 1.11 +9.90%

• NYSE Arms .67 -57.21% 

Credit Investor Angst:

• North American Investment Grade CDS Index 70.75 -3.88%

• European Financial Sector CDS Index 72.58 -6.97%

• Western Europe Sovereign Debt CDS Index 33.65 -2.18%
• Asia Pacific Sovereign Debt CDS Index 74.32 -2.76%

• Emerging Market CDS Index 262.54 -6.20%

• China Blended Corporate Spread Index 353.83 +1.41%
• 2-Year Swap Spread 26.25 -1.0 basis point

• TED Spread 20.75 -.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -10.0 +.75 basis point

Economic Gauges:

• 3-Month T-Bill Yield .03% unch.

• Yield Curve 183.0 +1.0 basis point

• China Import Iron Ore Spot $80.82/Metric Tonne +.62%

• Citi US Economic Surprise Index 20.60 +2.3 points
• Citi Eurozone Economic Surprise Index -54.1 +.2 point

• Citi Emerging Markets Economic Surprise Index -20.80 +1.8 points

• 10-Year TIPS Spread 1.93 +3 basis points

Overseas Futures:

• Nikkei Futures: Indicating +215 open in Japan

• DAX Futures: Indicating -73 open in Germany

Portfolio: 

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

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

• Market Exposure: Moved to 50% Net Long