Stocks Reversing Higher into Final Hour on Less Eurozone Debt Angst, Economic Optimism, Oil Gain, Energy/Telecom Sector Strength

 Broad Equity Market Tone:

• Advance/Decline Line: Slightly Lower
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Underperforming
  

Equity Investor Angst:

• Volatility(VIX) 13.3 -5.79%

• Euro/Yen Carry Return Index 134.49 +.34%

• Emerging Markets Currency Volatility(VXY) 12.93 unch.

• S&P 500 Implied Correlation 27.40 -4.56%

• ISE Sentiment Index 126.0 +14.55%
  

• Total Put/Call .87 -24.35%

• NYSE Arms .96 -26.86%

Credit Investor Angst:

• North American Investment Grade CDS Index 57.83 -.74%
  

• America Energy Sector High-Yield CDS Index 413.0 -1.12%

• European Financial Sector CDS Index 69.68 -1.91%

• Italian/German 10Y Yld Spread 251.25 -13.5 basis points
  

• Asia Pacific Sovereign Debt CDS Index 12.76 +.16%

• Emerging Market CDS Index 229.17 +.39%
  

• iBoxx Offshore RMB China Corporate High Yield Index 151.52 +.07%

• 2-Year Swap Spread 18.25 -.5 basis point

• TED Spread 19.0 -.75 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -11.75 unch.

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 65.21 +.09%
• 3-Month T-Bill Yield 2.15% +3.0 basis points

• Yield Curve 23.25 +.75 basis point

• China Iron Ore Spot 66.68 USD/Metric Tonne -.99%

• Citi US Economic Surprise Index -4.6 +.2 point

• Citi Eurozone Economic Surprise Index -6.7 -2.4 points

• Citi Emerging Markets Economic Surprise Index -3.90 +.5 point

• 10-Year TIPS Spread 2.12 +2.0 basis points
• 96.4% chance of Fed rate hike at Nov. 8th meeting, 99.3% chance at Dec. 19th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -89 open in Japan 
• China A50 Futures: Indicating -106 open in China

• DAX Futures: Indicating +17 open in Germany

Portfolio: 

• Higher: On gains in my medical/retail/tech/medical sector longs

• Disclosed Trades: None

• Market Exposure: 75% Net Long