Monday, February 01, 2016

Stocks Reversing Slightly Higher into Final Hour on Central Bank Hopes, Short-Covering, Technical Buying, Transport/Tech Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Slightly Lower
  • Sector Performance: Mixed
  • Volume: Around Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 20.35 +.74%
  • Euro/Yen Carry Return Index 137.89 +.58%
  • Emerging Markets Currency Volatility(VXY) 12.12 +.50%
  • S&P 500 Implied Correlation 60.98 +2.03%
  • ISE Sentiment Index 90.0 -11.76%
  • Total Put/Call 1.06 +17.78%
  • NYSE Arms 1.13 +61.70% 
Credit Investor Angst:
  • North American Investment Grade CDS Index 103.59 +1.68%
  • America Energy Sector High-Yield CDS Index 1,921.0 +1.08%
  • European Financial Sector CDS Index 93.50 +1.91%
  • Western Europe Sovereign Debt CDS Index 22.13 +3.82%
  • Asia Pacific Sovereign Debt CDS Index 78.49 +2.17%
  • Emerging Market CDS Index 369.96 +.27%
  • iBoxx Offshore RMB China Corporate High Yield Index 122.36 -.05%
  • 2-Year Swap Spread 6.5 -.25 basis point
  • TED Spread 30.25 +.5 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -21.25 +1.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 68.15 unch.
  • 3-Month T-Bill Yield .30% -1.0 basis points
  • Yield Curve 115.0 unch.
  • China Import Iron Ore Spot $43.02/Metric Tonne +3.12%
  • Citi US Economic Surprise Index -50.5 -3.4 points
  • Citi Eurozone Economic Surprise Index -22.20 +2.9 points
  • Citi Emerging Markets Economic Surprise Index -7.3 -3.5 points
  • 10-Year TIPS Spread 1.41% -1.0 basis point
  • 22.9% chance of Fed rate hike at April 27 meeting, 36.8% chance at June 15 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -60 open in Japan 
  • China A50 Futures: Indicating -177 open in China
  • DAX Futures: Indicating -3 open in Germany
Portfolio: 
  • Higher: On gains in retail/tech/biotech/medical sector longs and my emerging markets shorts
  • Disclosed Trades: None
  • Market Exposure: 50% Net Long

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