Friday, May 24, 2019

Stocks Slightly Higher into Afternoon on Less European Debt Angst, Oil Gain, Short-Covering, Airline/Homebuilding Sector Strength

 Broad Equity Market Tone:
  • Advance/Decline Line: Higher
  • Sector Performance: Most Sectors Rising
  • Volume: Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 15.9 -5.6%
  • Euro/Yen Carry Return Index 127.28 -.03%
  • Emerging Markets Currency Volatility(VXY) 8.51 -1.62%
  • S&P 500 Implied Correlation 39.94 -1.53%
  • ISE Sentiment Index 67.0 -2.9%
  • Total Put/Call .94 -22.31%
  • NYSE Arms 1.19 +5.31%
Credit Investor Angst:
  • North American Investment Grade CDS Index 64.97 +.45%
  • America Energy Sector High-Yield CDS Index 564.0 +4.17%
  • European Financial Sector CDS Index 87.11 -2.31%
  • Italian/German 10Y Yld Spread 267.0 -8.75 basis points
  • Asia Ex-Japan Investment Grade CDS Index 74.20 +.46%
  • Emerging Market CDS Index 207.07 -1.05%
  • iBoxx Offshore RMB China Corporate High Yield Index 163.02 +.04%
  • 2-Year Swap Spread 3.5 -1.0 basis points
  • TED Spread 18.25 +1.75 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -18.25 -1.0 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 65.85 +.39%
  • 3-Month T-Bill Yield 2.34% -1.0 basis point
  • Yield Curve 15.75 -1.0 basis point
  • China Iron Ore Spot 102.30 USD/Metric Tonne +1.36%
  • Citi US Economic Surprise Index -40.10 -.2 point
  • Citi Eurozone Economic Surprise Index -21.70 +.3 point
  • Citi Emerging Markets Economic Surprise Index -27.30 +1.0 points
  • 10-Year TIPS Spread 1.77 +2.0 basis points
  • 17.6% chance of Fed rate cut at July 31st meeting, 47.3% chance of cut at Sept. 18th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -12 open in Japan 
  • China A50 Futures: Indicating -100 open in China
  • DAX Futures: Indicating +3 open in Germany
Portfolio:
  • Slightly Higher: On gains in my medical/tech/biotech sector longs
  • Disclosed Trades: Added to my (IWM)/(QQQ) hedges and to my emerging market shorts
  • Market Exposure: Moved to 25% Net Long

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