Wednesday, June 01, 2016

Stocks Reversing Slightly Higher into Final Hour on Central Bank Hopes, Buyout Speculation, Oil Reversal Higher, Healthcare/Gaming Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Higher
  • Sector Performance: Mixed
  • Volume: Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 14.36 +1.20%
  • Euro/Yen Carry Return Index 127.98 -.62%
  • Emerging Markets Currency Volatility(VXY) 10.40 -.38%
  • S&P 500 Implied Correlation 52.91 -.53%
  • ISE Sentiment Index 105.0 +13.92%
  • Total Put/Call 1.08 +16.1%
  • NYSE Arms 1.12 +8.6
Credit Investor Angst:
  • North American Investment Grade CDS Index 77.38 +1.10%
  • America Energy Sector High-Yield CDS Index 891.0 -.43%
  • European Financial Sector CDS Index 92.75 +3.27%
  • Western Europe Sovereign Debt CDS Index 24.73 -.94%
  • Asia Pacific Sovereign Debt CDS Index 53.33 +.95%
  • Emerging Market CDS Index 300.17 -.40%
  • iBoxx Offshore RMB China Corporate High Yield Index 128.79 -.08%
  • 2-Year Swap Spread 14.75 -.25 basis point
  • TED Spread 33.75 -3.5 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -30.5 -1.0 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 70.58 +.10%
  • 3-Month T-Bill Yield .30% +1.0 basis point
  • Yield Curve 95.0 -1.0 basis point
  • China Import Iron Ore Spot $48.40/Metric Tonne -3.49%
  • Citi US Economic Surprise Index -17.10 +1.5 points
  • Citi Eurozone Economic Surprise Index 3.0 -1.8 points
  • Citi Emerging Markets Economic Surprise Index 3.2 +.7 point
  • 10-Year TIPS Spread 1.58% unch.
  • 53.2% chance of Fed rate hike at July 27 meeting, 59.8% chance at September 21 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -125 open in Japan 
  • China A50 Futures: Indicating -230 open in China
  • DAX Futures: Indicating +7 open in Germany
Portfolio: 
  • Higher: On gains in my biotech/retail/medical sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 50% Net Long

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