Stocks Falling into Final Hour on Surging Eurozone/Emerging Markets/US High-Yield Debt Angst, Rising Global Growth Fears, Yen Strength, Commodity/Financial Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Most Sectors Declining
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 20.55 +2.43%

• Euro/Yen Carry Return Index 154.44 +.43%

• Emerging Markets Currency Volatility(VXY) 9.75 +3.39%

• S&P 500 Implied Correlation 70.52 -2.03%

• ISE Sentiment Index 74.0 +37.04%

• Total Put/Call 1.01 +3.06%

• NYSE Arms 1.24 +26.76% 

Credit Investor Angst:

• North American Investment Grade CDS Index 71.82 +4.37% 
• America Energy Sector High-Yield CDS Index 652.0 +3.09%

• European Financial Sector CDS Index 65.26 +5.72%

• Western Europe Sovereign Debt CDS Index 31.32 +1.95%
• Asia Pacific Sovereign Debt CDS Index 70.24 +5.73%

• Emerging Market CDS Index 383.59 +8.45%

• China Blended Corporate Spread Index 333.47 -.90%
• 2-Year Swap Spread 24.0 +1.0 basis point

• TED Spread 22.0 +.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -8.0 +.5 basis point

Economic Gauges:

• 3-Month T-Bill Yield .02% -1.0 basis point

• Yield Curve 155.0 -3.0 basis points

• China Import Iron Ore Spot $68.99/Metric Tonne -.55%

• Citi US Economic Surprise Index 29.60 +4.8 points
• Citi Eurozone Economic Surprise Index -20.30 +.3 point

• Citi Emerging Markets Economic Surprise Index -15.50 -9.3 points

• 10-Year TIPS Spread 1.63 -8.0 basis points

Overseas Futures:

• Nikkei Futures: Indicating +14 open in Japan

• DAX Futures: Indicating -5 open in Germany

Portfolio: 

• Slightly Higher: On gains in my retail sector longs, index hedges and emerging markets shorts

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges, then added them back

• Market Exposure: 25% Net Long