Thursday, March 10, 2016

Stocks Slightly Lower into Final Hour on Diminished Central Bank Hopes, China Bubble-Bursting Fears, Oil Decline, Energy/Hospital Sector Weakness

Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Lower
  • Sector Performance: Most Sectors Declining
  • Volume: Slightly Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 18.65 +1.69%
  • Euro/Yen Carry Return Index 132.31 +1.56%
  • Emerging Markets Currency Volatility(VXY) 11.84 +1.37%
  • S&P 500 Implied Correlation 61.31 +2.01%
  • ISE Sentiment Index 71.0 -24.5%
  • Total Put/Call 1.05 +12.90%
  • NYSE Arms .72 -38.31% 
Credit Investor Angst:
  • North American Investment Grade CDS Index 91.40 -5.0%
  • America Energy Sector High-Yield CDS Index 1,927.0 +37.34%
  • European Financial Sector CDS Index 89.59 -8.94%
  • Western Europe Sovereign Debt CDS Index 29.53 -2.64%
  • Asia Pacific Sovereign Debt CDS Index 68.29 -.81%
  • Emerging Market CDS Index 331.90 -1.60%
  • iBoxx Offshore RMB China Corporate High Yield Index 124.84 +.09%
  • 2-Year Swap Spread 5.0 unch.
  • TED Spread 33.5 +1.0 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -21.0 +6.0 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 70.51 +.22%
  • 3-Month T-Bill Yield .31% +1.0 basis point
  • Yield Curve 100.0 +1.0 basis point
  • China Import Iron Ore Spot $57.92/Metric Tonne -.17%
  • Citi US Economic Surprise Index -9.80 +3.0 points
  • Citi Eurozone Economic Surprise Index -55.0 +.2 point
  • Citi Emerging Markets Economic Surprise Index -19.50 -2.2 points
  • 10-Year TIPS Spread 1.50% -1.0 basis point
  • 19.4% chance of Fed rate hike at April 27 meeting, 45.2% chance at June 15 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -232 open in Japan 
  • China A50 Futures: Indicating -205 open in China
  • DAX Futures: Indicating +12 open in Germany
Portfolio: 
  • Slightly Higher: On gains in my medical/retail sector longs and emerging market shorts
  • Disclosed Trades: Added to my (IWM)/(QQQ) hedges, then covered some of them
  • Market Exposure: 50% Net Long

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