Stocks Falling Substantially into Final Hour on Surging Eurozone Debt Angst, Fed Rate Hike Worries, Oil Decline, Commodity/Gaming Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Almost Every Sector Declining
  

• Volume: Below Average

• Market Leading Stocks: Underperforming

Equity Investor Angst:

• Volatility(VIX) 14.50 +19.54%

• Euro/Yen Carry Return Index 139.76 +.26%

• Emerging Markets Currency Volatility(VXY) 9.46 +1.72%

• S&P 500 Implied Correlation 62.05 +4.36%

• ISE Sentiment Index 134.0 unch.

• Total Put/Call 1.11 +27.59%

• NYSE Arms 1.47 +25.33% 

Credit Investor Angst:

• North American Investment Grade CDS Index 64.42 +.94%

• America Energy Sector High-Yield CDS Index 1,090.0 unch.

• European Financial Sector CDS Index 76.64 +3.99%

• Western Europe Sovereign Debt CDS Index 23.73 +9.53%

• Asia Pacific Sovereign Debt CDS Index 58.84 +.39%

• Emerging Market CDS Index 286.22 +1.53%
  

• iBoxx Offshore RMB China Corporates High Yield Index 119.95 +.28%

• 2-Year Swap Spread 26.25 unch.

• TED Spread 27.5 +.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -23.0 -2.25 basis points

Economic Gauges:

• 3-Month T-Bill Yield .01% unch.

• Yield Curve 152.0 -7.0 basis points

• China Import Iron Ore Spot $62.78/Metric Tonne +2.62%

• Citi US Economic Surprise Index -56.80 +5.3 points

• Citi Eurozone Economic Surprise Index -11.20 -.1 point

• Citi Emerging Markets Economic Surprise Index -17.4 -2.2 points

• 10-Year TIPS Spread 1.85 -5.0 basis points

Overseas Futures:

• Nikkei 225 Futures: Indicating -72 open in Japan 
• China A50 Futures: Indicating -22 open in China

• DAX Futures: Indicating -7 open in Germany

Portfolio: 

• Slightly Lower: On losses in my retail/tech/biotech/medical sector longs 

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

• Market Exposure: Moved to 25% Net Long