Stocks Reversing Slightly Higher into Final Hour on Lower Long-Term Rates, Less European/Emerging Markets/US High-Yield Debt Angst, Oil Bounce, Energy/Transport Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: About Even
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 12.25 -4.89%

• Euro/Yen Carry Return Index 140.66 +.03%

• Emerging Markets Currency Volatility(VXY) 9.29 -.54%

• S&P 500 Implied Correlation 60.81 -1.44%

• ISE Sentiment Index 100.0 -25.93%

• Total Put/Call .93 +12.05%

• NYSE Arms .83 -22.41% 

Credit Investor Angst:

• North American Investment Grade CDS Index 63.45 -1.31%

• America Energy Sector High-Yield CDS Index 1,106.0 +1.378%

• European Financial Sector CDS Index 71.69 -2.17%

• Western Europe Sovereign Debt CDS Index 21.68 -.89%

• Asia Pacific Sovereign Debt CDS Index 58.71 -1.19%

• Emerging Market CDS Index 282.32 -2.15%
  

• iBoxx Offshore RMB China Corporates High Yield Index 119.57 +.09%

• 2-Year Swap Spread 26.50 +.5 basis point

• TED Spread 27.0 +.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -19.25 -.25 basis point

Economic Gauges:

• 3-Month T-Bill Yield .01% -1.0 basis point

• Yield Curve 161.0 -6.0 basis points

• China Import Iron Ore Spot $57.91/Metric Tonne +1.38%

• Citi US Economic Surprise Index -65.3 -1.0 point

• Citi Eurozone Economic Surprise Index -11.70 -5.5 points

• Citi Emerging Markets Economic Surprise Index -13.6 -.3 point

• 10-Year TIPS Spread 1.87 -3.0 basis points

Overseas Futures:

• Nikkei 225 Futures: Indicating +53 open in Japan 
• China A50 Futures: Indicating +51 open in China

• DAX Futures: Indicating +12 open in Germany

Portfolio: 

• Higher: On gains in my tech/retail sector longs and emerging markets shorts

• Disclosed Trades: None

• Market Exposure: 50% Net Long