Tuesday, November 29, 2016

Stocks Slightly Higher into Final Hour on Less European/Emerging Markets/US High-Yield Debt Angst, Reversal Lower in Long-Term Rates, Yen Weakness, Healthcare/Homebuilding Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Around Even
  • Sector Performance: Most Sectors Declining
  • Volume: Around Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 12.73 -3.19%
  • Euro/Yen Carry Return Index 124.91 +.73%
  • Emerging Markets Currency Volatility(VXY) 10.86 -.55%
  • S&P 500 Implied Correlation 52.97 -5.53%
  • ISE Sentiment Index 74.0 +10.45%
  • Total Put/Call .89 -1.11%
  • NYSE Arms 1.18 +16.41%
Credit Investor Angst:
  • North American Investment Grade CDS Index 73.40 -.25%
  • America Energy Sector High-Yield CDS Index 585.0 -5.94%
  • European Financial Sector CDS Index 106.50 -4.0%
  • Western Europe Sovereign Debt CDS Index 23.35 -.15%
  • Asia Pacific Sovereign Debt CDS Index 43.62 -1.41%
  • Emerging Market CDS Index 268.27 -.46%
  • iBoxx Offshore RMB China Corporate High Yield Index 132.97 +.03%
  • 2-Year Swap Spread 19.75 -1.0 basis point
  • TED Spread 45.75 -.75 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -60.75 +.5 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 69.33 -.07%
  • 3-Month T-Bill Yield .47% +1.0 basis point
  • Yield Curve 121.0 -1.0 basis point
  • China Import Iron Ore Spot $77.30/Metric Tonne -4.37%
  • Citi US Economic Surprise Index 16.80 +5.2 points
  • Citi Eurozone Economic Surprise Index 61.60 -4.4 points
  • Citi Emerging Markets Economic Surprise Index -4.7 -.3 point
  • 10-Year TIPS Spread 1.90% +2.0 basis points
  • 100.0% chance of Fed rate hike at Feb. 1 meeting, 100.0% chance at March 15 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +63 open in Japan 
  • China A50 Futures: Indicating +61 open in China
  • DAX Futures: Indicating -3 open in Germany
Portfolio: 
  • Slightly Higher: On gains in my medical/biotech sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 50% Net Long

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