Stocks Rising into Final Hour on Dovish Fed Commentary, Less Eurozone Debt Angst, Short-Covering, Homebuilding/Financial Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Slightly Higher
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 13.76 -5.49%

• Euro/Yen Carry Return Index 140.80 +.10%

• Emerging Markets Currency Volatility(VXY) 10.21 -1.07%

• S&P 500 Implied Correlation 61.40 -.90%

• ISE Sentiment Index 97.0 -23.62%

• Total Put/Call .97 +11.49%

• NYSE Arms .93 -47.08% 

Credit Investor Angst:

• North American Investment Grade CDS Index 6165 -2.98%
• America Energy Sector High-Yield CDS Index 688.0 -.14%

• European Financial Sector CDS Index 56.58 -3.98%

• Western Europe Sovereign Debt CDS Index 23.35 -4.52%
• Asia Pacific Sovereign Debt CDS Index 65.0 +.32%

• Emerging Market CDS Index 378.36 -2.10%

• iBoxx Offshore RMB China Corporates High Yield Index 113.82 +.02%
• 2-Year Swap Spread 29.0 -.5 basis point

• TED Spread 24.75 unch.

• 3-Month EUR/USD Cross-Currency Basis Swap -20.75 +2.25 basis points

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 143.0 -2.0 basis points

• China Import Iron Ore Spot $64.01/Metric Tonne +.90%

• Citi US Economic Surprise Index -47.80 -2.2 points
• Citi Eurozone Economic Surprise Index 49.8 -.8 point

• Citi Emerging Markets Economic Surprise Index -9.70 +1.0 point

• 10-Year TIPS Spread 1.73 -3.0 basis points

Overseas Futures:

• Nikkei Futures: Indicating +70 open in Japan

• DAX Futures: Indicating +20 open in Germany

Portfolio: 

• Slightly Lower: On losses in my biotech sector longs and emerging markets shorts

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

• Market Exposure: Moved to 75% Net Long