Stocks Reversing into Afternoon on China Trade Deal Hopes, Oil Gain, Technical Buying, Energy/Gaming Sector Strength

 Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Mixed
  

• Volume: Around Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• Volatility(VIX) 24.21 -4.8%

• Euro/Yen Carry Return Index 128.90 -1.5%

• Emerging Markets Currency Volatility(VXY) 9.85 +.51%

• S&P 500 Implied Correlation 49.69 +8.4%

• ISE Sentiment Index 65.0 -12.2%
  

• Total Put/Call 1.05 +7.2%

• NYSE Arms .88 -17.8%

Credit Investor Angst:

• North American Investment Grade CDS Index 87.25 -.48%
  

• America Energy Sector High-Yield CDS Index 799.0 +.36%

• European Financial Sector CDS Index 112.18 +3.42%

• Italian/German 10Y Yld Spread 252.75 +2.75 basis points
  

• Asia Pacific Sovereign Debt CDS Index 11.75 unch.

• Emerging Market CDS Index 207.17 -.41%
  

• iBoxx Offshore RMB China Corporate High Yield Index 151.98 +.09%

• 2-Year Swap Spread 16.75 +.25 basis point

• TED Spread 36.25 -6.5 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap 1.25 -1.25 basis points

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 66.90 -.31%
• 3-Month T-Bill Yield 2.41% +6.0 basis points

• Yield Curve 15.75 -4.0 basis points

• China Iron Ore Spot 69.78 USD/Metric Tonne +.53%

• Citi US Economic Surprise Index -22.5 +1.3 points

• Citi Eurozone Economic Surprise Index -71.6 +.2 point

• Citi Emerging Markets Economic Surprise Index -13.3 -2.7 points

• 10-Year TIPS Spread 1.71 unch.
• 2.0% chance of Fed rate hike at March 20th meeting, 4.0% chance at May 1st meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -94 open in Japan 
• China A50 Futures: Indicating +59 open in China

• DAX Futures: Indicating +47 open in Germany

Portfolio: 

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

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 100% Net Long