Stocks Reversing Lower into Final Hour on Global Growth Fears, Emering Markets Currency/Debt Worries, Oil Decline, Retail/Biotech Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Lower
  

• Sector Performance: Mixed
  

• Volume: Slightly Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 16.29 +7.67%

• Euro/Yen Carry Return Index 135.99 +.04%

• Emerging Markets Currency Volatility(VXY) 10.81 +1.69%

• S&P 500 Implied Correlation 57.73 +1.58%

• ISE Sentiment Index 101.0 -24.63

• Total Put/Call 1.23 +9.82%

• NYSE Arms 1.08 -42.62% 

Credit Investor Angst:

• North American Investment Grade CDS Index 84.14 -.30%

• America Energy Sector High-Yield CDS Index 1,309.0 -.38%

• European Financial Sector CDS Index 68.09 -.69%

• Western Europe Sovereign Debt CDS Index 17.85 +.65%

• Asia Pacific Sovereign Debt CDS Index 68.20 -1.23%

• Emerging Market CDS Index 327.67 +2.62%
  

• iBoxx Offshore RMB China Corporate High Yield Index 124.14 -.01%

• 2-Year Swap Spread 6.25 +1.0 basis point

• TED Spread 25.25 +3.0 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -55.25 -2.0 basis points

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 70.15 -.16%
• 3-Month T-Bill Yield .17% +1.0 basis point

• Yield Curve 128.0 -2.0 basis points

• China Import Iron Ore Spot $42.97/Metric Tonne -3.44%

• Citi US Economic Surprise Index -14.4 +1.1 points

• Citi Eurozone Economic Surprise Index 23.10 -5.1 points

• Citi Emerging Markets Economic Surprise Index 9.3 +3.9 points

• 10-Year TIPS Spread 1.62 -1.0 basis point
• # of Months to 1st Fed Rate Hike(Morgan Stanley) 1.78 -.07

Overseas Futures:

• Nikkei 225 Futures: Indicating +13 open in Japan 
• China A50 Futures: Indicating -141 open in China

• DAX Futures: Indicating -25 open in Germany

Portfolio: 

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

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

• Market Exposure: Moved to 25% Net Long