Thursday, August 04, 2016

Stocks Slightly Higher into Final Hour on Less European/Emerging Markets/US High-Yield Debt Angst, Oil Bounce, Short-Covering, Tech/Metals & Mining Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Slightly Higher
  • Sector Performance: Mixed
  • Volume: Slightly Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 12.52 -2.64%
  • Euro/Yen Carry Return Index 117.59 -.28%
  • Emerging Markets Currency Volatility(VXY) 9.67 -.41%
  • S&P 500 Implied Correlation 47.05 -2.65%
  • ISE Sentiment Index 117.0 -7.14%
  • Total Put/Call .90 -4.26%
  • NYSE Arms .98 +26.81
Credit Investor Angst:
  • North American Investment Grade CDS Index 73.31 -2.18%
  • America Energy Sector High-Yield CDS Index 770.0 -2.72%
  • European Financial Sector CDS Index 91.95 -4.69%
  • Western Europe Sovereign Debt CDS Index 23.94 -.5%
  • Asia Pacific Sovereign Debt CDS Index 47.44 -.85%
  • Emerging Market CDS Index 256.63 -1.18%
  • iBoxx Offshore RMB China Corporate High Yield Index 131.47 +.07%
  • 2-Year Swap Spread 26.75 +.75 basis point
  • TED Spread 50.25 +2.25 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -44.75 +4.75 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 72.54 +.25%
  • 3-Month T-Bill Yield .26% -1.0 basis point
  • Yield Curve 85.5 -1.75 basis points
  • China Import Iron Ore Spot $59.50/Metric Tonne -3.52%
  • Citi US Economic Surprise Index 17.80 +1.7 points
  • Citi Eurozone Economic Surprise Index 31.7 -.1 point
  • Citi Emerging Markets Economic Surprise Index -1.70 -.7 point
  • 10-Year TIPS Spread 1.47% +1.0 basis point
  • 19.8% chance of Fed rate hike at Nov. 2 meeting, 37.3% chance at Dec. 14 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -34 open in Japan 
  • China A50 Futures: Indicating +1 open in China
  • DAX Futures: Indicating -8 open in Germany
Portfolio: 
  • Lower: On losses in my biotech/retail sector longs and emerging market shorts
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 50% Net Long

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