Monday, May 06, 2019

Stocks Lower into Afternoon on China Trade Deal Worries, Global Growth Fears, Profit-Taking, Tech/Gaming Sector Weakness

 Broad Equity Market Tone:
  • Advance/Decline Line: Lower
  • Sector Performance: Almost Every Sector Declining
  • Volume: Below Average
  • Market Leading Stocks: Outperforming
Equity Investor Angst:
  • Volatility(VIX) 16.44 +27.8%
  • Euro/Yen Carry Return Index 128.95 -.28%
  • Emerging Markets Currency Volatility(VXY) 8.43 +7.4%
  • S&P 500 Implied Correlation 38.50 +9.03%
  • ISE Sentiment Index 64.0 -11.11%
  • Total Put/Call 1.08 -42.1%
  • NYSE Arms 1.53 +124.2%
Credit Investor Angst:
  • North American Investment Grade CDS Index 59.46 +2.60%
  • America Energy Sector High-Yield CDS Index 452.0 -.96%
  • European Financial Sector CDS Index 70.53 +1.30%
  • Italian/German 10Y Yld Spread 257.25 +3.75 basis points
  • Asia Ex-Japan Investment Grade CDS Index 67.03 +3.10%
  • Emerging Market CDS Index 192.55 +2.48%
  • iBoxx Offshore RMB China Corporate High Yield Index 162.21 +.10%
  • 2-Year Swap Spread 10.25 -.75 basis point
  • TED Spread 14.25 -1.5 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -19.0 +1.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 66.23 -.26%
  • 3-Month T-Bill Yield 2.41% -1.0 basis point
  • Yield Curve 19.0 -.5 basis point
  • China Iron Ore Spot 91.33 USD/Metric Tonne -2.8%
  • Citi US Economic Surprise Index -47.20 +4.9 points
  • Citi Eurozone Economic Surprise Index -19.80 +2.6 points
  • Citi Emerging Markets Economic Surprise Index -13.30 -2.9 points
  • 10-Year TIPS Spread 1.90 -1.0 basis point
  • 16.2% chance of Fed rate cut at July 31st meeting, 32.8% chance of cut at Sept. 18th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -108 open in Japan 
  • China A50 Futures: Indicating +110 open in China
  • DAX Futures: Indicating +13 open in Germany
Portfolio:
  • Lower: On losses in my retail/medical/industrial/tech sector longs
  • Disclosed Trades: None
  • Market Exposure: 75% Net Long

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