Tuesday, May 08, 2018

Stocks Lower into Final Hour on Geopolitical Tensions, Lower Oil, Profit-Taking, Utility/Telecom Sector Weakness

Broad Equity Market Tone:
  • Advance/Decline Line: Around Even
  • Sector Performance: Mixed
  • Volume: Slightly Above Average
  • Market Leading Stocks: Outperforming
Equity Investor Angst:
  • Volatility(VIX) 15.14 +2.6%
  • Euro/Yen Carry Return Index 134.60 -.6%
  • Emerging Markets Currency Volatility(VXY) 8.74 +.69%
  • S&P 500 Implied Correlation 41.10 -1.2%
  • ISE Sentiment Index 108.0 -5.3%
  • Total Put/Call .81 -12.9%
  • NYSE Arms .98 -10.5%
Credit Investor Angst:
  • North American Investment Grade CDS Index 62.54 +1.02%
  • America Energy Sector High-Yield CDS Index 386.0 +.53%
  • European Financial Sector CDS Index 60.96 +1.14%
  • Italian/German 10Y Yld Spread 130.5 +5.25 basis points
  • Asia Pacific Sovereign Debt CDS Index 12.95 +3.19%
  • Emerging Market CDS Index 161.09 +3.2%
  • iBoxx Offshore RMB China Corporate High Yield Index 149.42 -.17%
  • 2-Year Swap Spread 25.75 -.5 basis point
  • TED Spread 51.0 -2.5 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -3.5 -1.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 71.86 -.58%
  • 3-Month T-Bill Yield 1.86% +3.0 basis points
  • Yield Curve 45.75 -.75 basis point
  • China Iron Ore Spot 66.47 USD/Metric Tonne -1.0%
  • Citi US Economic Surprise Index 28.2 -2.7 points
  • Citi Eurozone Economic Surprise Index -98.90 -2.3 points
  • Citi Emerging Markets Economic Surprise Index 1.2 +2.0 points
  • 10-Year TIPS Spread 2.16 unch.
  • 100.0% chance of Fed rate hike at August 1 meeting, 100.0% chance at September 26 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -38  open in Japan 
  • China A50 Futures: Indicating -16 open in China
  • DAX Futures: Indicating -3 open in Germany
Portfolio: 
  • Slightly Higher: On gains in my industrial/tech sector longs
  • Disclosed Trades: None
  • Market Exposure: 100% Net Long

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