Wednesday, June 28, 2017

Stocks Surging into Final Hour on Less Hawkish Central Bank Commentary, Oil Gain, Technical Buying, Biotech/Transport Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Higher
  • Sector Performance: Almost Every Sector Rising
  • Volume: Around Average
  • Market Leading Stocks: Outperforming
Equity Investor Angst:
  • Volatility(VIX) 9.99 -9.67%
  • Euro/Yen Carry Return Index 133.29 +.37%
  • Emerging Markets Currency Volatility(VXY) 7.61 +1.87%
  • S&P 500 Implied Correlation 33.19 -3.35%
  • ISE Sentiment Index 76.0 -7.32%
  • Total Put/Call .95 +21.79%
  • NYSE Arms .64 -31.96%
Credit Investor Angst:
  • North American Investment Grade CDS Index 60.0 -1.48%
  • America Energy Sector High-Yield CDS Index 476.0 +.62%
  • European Financial Sector CDS Index 52.77 +.23%
  • Western Europe Sovereign Debt CDS Index 6.39 +6.15%
  • Asia Pacific Sovereign Debt CDS Index 19.53 +1.75%
  • Emerging Market CDS Index 198.04 -1.01%
  • iBoxx Offshore RMB China Corporate High Yield Index 139.57 unch.
  • 2-Year Swap Spread 21.75 +1.75 basis points
  • TED Spread 29.5 -.25 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -29.0 +.75 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 73.05 +.26%
  • 3-Month T-Bill Yield 1.0% unch.
  • Yield Curve 87.0 +4.0 basis points
  • China Import Iron Ore Spot $62.33/Metric Tonne +4.41%
  • Citi US Economic Surprise Index -76.40 +1.1 points
  • Citi Eurozone Economic Surprise Index 11.20 +2.0 points
  • Citi Emerging Markets Economic Surprise Index 10.40 unch.
  • 10-Year TIPS Spread 1.75 +3.0 basis points
  • 27.8% chance of Fed rate hike at Sept. 20 meeting, 29.3% chance at Nov. 1 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +125 open in Japan 
  • China A50 Futures: Indicating -67 open in China
  • DAX Futures: Indicating +12 open in Germany
Portfolio: 
  • Higher: On gains in my tech/medical/biotech/retail sector longs 
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges and some of my (EEM) short
  • Market Exposure: Moved to 100% Net Long

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