Wednesday, July 12, 2017

Stocks Surging into Final Hour on More Dovish Fed Commentary, Earnings Optimism, Oil Gain, Tech/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) 10.25 -5.88%
  • Euro/Yen Carry Return Index 134.89 -1.05%
  • Emerging Markets Currency Volatility(VXY) 7.76 +.13%
  • S&P 500 Implied Correlation 32.35 -4.35%
  • ISE Sentiment Index 89.0 -58.8%
  • Total Put/Call .66 -37.74%
  • NYSE Arms 1.23 +40.1%
Credit Investor Angst:
  • North American Investment Grade CDS Index 60.20 -2.62%
  • America Energy Sector High-Yield CDS Index 469.0 -2.35%
  • European Financial Sector CDS Index 52.35 -2.37%
  • Western Europe Sovereign Debt CDS Index 6.15 -1.13%
  • Asia Pacific Sovereign Debt CDS Index 21.98 +.25%
  • Emerging Market CDS Index 197.68 -2.73%
  • iBoxx Offshore RMB China Corporate High Yield Index 140.08 unch.
  • 2-Year Swap Spread 25.0 -1.0 basis point
  • TED Spread 25.75-.5 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -27.0 +.5 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 72.91 +.59%
  • 3-Month T-Bill Yield 1.04% unch.
  • Yield Curve 97.0-2.0 basis points
  • China Import Iron Ore Spot $64.05/Metric Tonne -2.06%
  • Citi US Economic Surprise Index -56.60 +1.8 points
  • Citi Eurozone Economic Surprise Index 38.0 +.2 point
  • Citi Emerging Markets Economic Surprise Index 13.10 -.6 point
  • 10-Year TIPS Spread 1.75 +2.0 basis points
  • 24.3% chance of Fed rate hike at Sept. 20 meeting, 25.9% chance at Nov. 1 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +97 open in Japan 
  • China A50 Futures: Indicating -7 open in China
  • DAX Futures: Indicating +20 open in Germany
Portfolio: 
  • Higher: On gains in my tech/biotech/medical/retail sector longs 
  • Disclosed Trades: None
  • Market Exposure: 100% Net Long

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