Friday, March 09, 2018

Stocks Surging into Afternoon on Economic Optimism, Less US/European/Emerging Markets Debt Angst, Oil Gain, Transport/Financial Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Higher
  • Sector Performance: Almost Every Sector Rising
  • Volume: Below Average
  • Market Leading Stocks: Outperforming
Equity Investor Angst:
  • Volatility(VIX) 15.29 -7.6%
  • Euro/Yen Carry Return Index 137.03 +.63%
  • Emerging Markets Currency Volatility(VXY) 7.75 -1.9%
  • S&P 500 Implied Correlation 38.1 -5.1%
  • ISE Sentiment Index 114.0 +44.2%
  • Total Put/Call .78 -15.2%
  • NYSE Arms .90 -16.8%
Credit Investor Angst:
  • North American Investment Grade CDS Index 54.84 -2.69%
  • America Energy Sector High-Yield CDS Index 397.0 +1.15%
  • European Financial Sector CDS Index 50.11 -3.43%
  • Italian/German 10Y Yld Spread 136.25 -.5 basis point
  • Asia Pacific Sovereign Debt CDS Index 11.65 -2.43%
  • Emerging Market CDS Index 113.03 -3.63%
  • iBoxx Offshore RMB China Corporate High Yield Index 148.08 +.01%
  • 2-Year Swap Spread 30.0 +.5 basis point
  • TED Spread 40.25 +3.25 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -28.25 +.75 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 75.41 +.24%
  • 3-Month T-Bill Yield 1.67% unch.
  • Yield Curve 62.75 +1.5 basis points
  • China Iron Ore Spot 69.18 USD/Metric Tonne -.03%
  • Citi US Economic Surprise Index 47.90 +9.9 points
  • Citi Eurozone Economic Surprise Index -21.60 -8.8 points
  • Citi Emerging Markets Economic Surprise Index 31.70 +.4 point
  • 10-Year TIPS Spread 2.13 +1.0 basis point
  • 100.0% chance of Fed rate hike at May 2 meeting, 100.0% chance at June 13 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +266 open in Japan 
  • China A50 Futures: Indicating +130 open in China
  • DAX Futures: Indicating +17 open in Germany
Portfolio: 
  • Higher: On gains in my medical/retail/biotech/tech/industrial sector longs
  • Disclosed Trades: None
  • Market Exposure: 100% Net Long

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