Stocks Slightly Higher into Final Hour on Less Eurozone Debt Angst, Earnings Optimism, Investor Performance Angst, Restaurant/Drug Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 12.05 +.84%

• Euro/Yen Carry Return Index 140.59 +.16%

• Emerging Markets Currency Volatility(VXY) 8.30 +2.22%

• S&P 500 Implied Correlation 58.64 +.62%

• ISE Sentiment Index 134.0 +39.58%

• Total Put/Call .92 +9.52%

• NYSE Arms 1.11 -17.79% 

Credit Investor Angst:

• North American Investment Grade CDS Index 65.58 +.42%

• America Energy Sector High-Yield CDS Index 1,516.0 +1.30%

• European Financial Sector CDS Index 66.46 -2.59%

• Western Europe Sovereign Debt CDS Index 20.49 -3.76%

• Asia Pacific Sovereign Debt CDS Index 57.22 -.87%

• Emerging Market CDS Index 300.73 +1.50%
  

• iBoxx Offshore RMB China Corporates High Yield Index 120.35 +.14%

• 2-Year Swap Spread 25.75 -.25 basis point

• TED Spread 28.25 +1.0 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -21.25 unch.

Economic Gauges:

• 3-Month T-Bill Yield .03% +1.0 basis point

• Yield Curve 167.0 -1.0 basis point

• China Import Iron Ore Spot $52.39/Metric Tonne +3.41%

• Citi US Economic Surprise Index -14.8 +3.2 points

• Citi Eurozone Economic Surprise Index 5.5 +4.8 points

• Citi Emerging Markets Economic Surprise Index -10.10 +.6 point

• 10-Year TIPS Spread 1.83 -1.0 basis point

• # of Months to 1st Fed Rate Hike(Morgan Stanley) 5.56 -.27

Overseas Futures:

• Nikkei 225 Futures: Indicating +189 open in Japan 

• China A50 Futures: Indicating -344 open in China

• DAX Futures: Indicating +23 open in Germany

Portfolio: 

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

• Disclosed Trades: None

• Market Exposure: 50% Net Long