Wednesday, September 04, 2019

Stocks Rising into Final Hour on Diminished Global Growth Fears, Oil Gain, Short-Covering, Tech/Energy Sector Strength

 Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Higher
  • Sector Performance: Most Sectors Rising
  • Volume: Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 17.6 -10.4%
  • Euro/Yen Carry Return Index 121.89 +.95%
  • Emerging Markets Currency Volatility(VXY) 8.61 -2.93%
  • S&P 500 Implied Correlation 42.55 -6.1%
  • ISE Sentiment Index 87.0 +22.5%
  • Total Put/Call .97 -11.0%
  • NYSE Arms .58 -55.0%
Credit Investor Angst:
  • North American Investment Grade CDS Index 54.03 -1.99%
  • America Energy Sector High-Yield CDS Index 435.0 +1.52%
  • European Financial Sector CDS Index 60.92 -5.09%
  • Italian/German 10Y Yld Spread 148.5 -9.75 basis points
  • Asia Ex-Japan Investment Grade CDS Index 62.09 -3.32%
  • Emerging Market CDS Index 203.90 -4.75%
  • iBoxx Offshore RMB China Corporate High Yield Index 165.11 +.07%
  • 2-Year Swap Spread -.75 unch.
  • TED Spread 17.0 +2.0 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -15.5 -.25 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 65.50 +.83%
  • 3-Month T-Bill Yield 1.94% -1.0 basis point
  • Yield Curve .01 unch.
  • China Iron Ore Spot 89.88 USD/Metric Tonne +2.29%
  • Citi US Economic Surprise Index -7.7 +1.7 points
  • Citi Eurozone Economic Surprise Index -31.80 +4.6 points
  • Citi Emerging Markets Economic Surprise Index -13.5 +1.6 points
  • 10-Year TIPS Spread 1.51 unch.
  • 100.0% chance of Fed rate cut at Oct. 30th meeting, 100.0% chance of cut at Dec. 11th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +151 open in Japan 
  • China A50 Futures: Indicating +17 open in China
  • DAX Futures: Indicating -6 open in Germany
Portfolio:
  • Higher: On gains in my retail/industrial/tech sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges and some of my emerging market shorts
  • Market Exposure: Moved to 75% Net Long

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