Friday, June 03, 2016

Stocks Lower into Afternoon on Weak US Jobs Report, Yen Strength, Oil Decline, Financial/Biotech Sector Weakness

Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Lower
  • Sector Performance: Most Sectors Declining
  • Volume: Around Average
  • Market Leading Stocks: Underperforming
Equity Investor Angst:
  • Volatility(VIX) 13.81 -2.75%
  • Euro/Yen Carry Return Index 126.85 -.96%
  • Emerging Markets Currency Volatility(VXY) 10.25 -1.44%
  • S&P 500 Implied Correlation 52.42 -.83%
  • ISE Sentiment Index 70.0 -21.35%
  • Total Put/Call .85 -6.59%
  • NYSE Arms 1.01 -13.27
Credit Investor Angst:
  • North American Investment Grade CDS Index 77.51 +.92%
  • America Energy Sector High-Yield CDS Index 880.0 -2.43%
  • European Financial Sector CDS Index 95.64 +1.28%
  • Western Europe Sovereign Debt CDS Index 26.08 +.68%
  • Asia Pacific Sovereign Debt CDS Index 52.96 +.21%
  • Emerging Market CDS Index 292.14 -1.80%
  • iBoxx Offshore RMB China Corporate High Yield Index 128.72 -.12%
  • 2-Year Swap Spread 15.0 -.25 basis point
  • TED Spread 40.75 +1.25 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -27.75 +6.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 71.51 +1.32%
  • 3-Month T-Bill Yield .28% +1.0 basis point
  • Yield Curve 93.0 +1.0 basis point
  • China Import Iron Ore Spot $50.08/Metric Tonne +3.94%
  • Citi US Economic Surprise Index -25.40 -9.1 points
  • Citi Eurozone Economic Surprise Index 1.80 -.7 point
  • Citi Emerging Markets Economic Surprise Index 7.4 +.2 point
  • 10-Year TIPS Spread 1.56% -2.0 basis points
  • 30.9% chance of Fed rate hike at July 27 meeting, 43.3% chance at September 21 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -302 open in Japan 
  • China A50 Futures: Indicating -230 open in China
  • DAX Futures: Indicating +4 open in Germany
Portfolio: 
  • Lower: On losses in my biotech/retail/tech sector longs and emerging markets shorts
  • Disclosed Trades: None
  • Market Exposure: 50% Net Long

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