Wednesday, December 13, 2017

Stocks Rising into Final Hour on Tax Reform Hopes, Short-Covering, Seasonality, Biotech/Retail Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Higher
  • Sector Performance: Most Sectors Rising
  • Volume: Slightly Above Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 9.85 -.71%
  • Euro/Yen Carry Return Index 138.67 -.19%
  • Emerging Markets Currency Volatility(VXY) 7.68 -1.41%
  • S&P 500 Implied Correlation 35.83 +.31%
  • ISE Sentiment Index 141.0 +1.44%
  • Total Put/Call .71 -17.4%
  • NYSE Arms 1.26 +94.1%
Credit Investor Angst:
  • North American Investment Grade CDS Index 50.32 -.15%
  • America Energy Sector High-Yield CDS Index 375.0 +.71%
  • European Financial Sector CDS Index 46.15 +1.59%
  • Western Europe Sovereign Debt CDS Index 3.41 -.29%
  • Asia Pacific Sovereign Debt CDS Index 13.87 +.07%
  • Emerging Market CDS Index 124.88 n/a
  • iBoxx Offshore RMB China Corporate High Yield Index 145.52 -.20%
  • 2-Year Swap Spread 20.75 +1.0 basis point
  • TED Spread 24.0 +1.25 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -66.75 -2.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 73.19 +.5%
  • 3-Month T-Bill Yield 1.30% -2.0 basis points
  • Yield Curve 57.5 unch.
  • China Iron Ore Spot 491.0 CNY/100 Metric Tonnes -.5%
  • Citi US Economic Surprise Index 63.40 -5.6 points
  • Citi Eurozone Economic Surprise Index 53.30 -.6 basis point
  • Citi Emerging Markets Economic Surprise Index 3.20 -3.1 points
  • 10-Year TIPS Spread 1.89 +2.0 basis points
  • 100.0% chance of Fed rate hike at Jan. 31 meeting, 100.0% chance at March 21 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -28 open in Japan 
  • China A50 Futures: Indicating +54 open in China
  • DAX Futures: Indicating -19 open in Germany
Portfolio: 
  • Higher: On gains in my retail/biotech/tech/medial sector longs
  • Disclosed Trades: None
  • Market Exposure: 100% Net Long

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