Tuesday, December 10, 2019

Stocks Reversing Slightly Higher into Final Hour on China Trade Deal Optimism, Global Growth Hopes, Oil Gain, Biotech/Construction Sector Strength

 Broad Equity Market Tone:
  • Advance/Decline Line: Slightly Higher
  • Sector Performance: Mixed
  • Volume: Below Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 15.7 -1.0%
  • Euro/Yen Carry Return Index 125.18 +.23%
  • Emerging Markets Currency Volatility(VXY) 6.80 +.15%
  • S&P 500 Implied Correlation 44.4 +3.4%
  • ISE Sentiment Index 99.0 -12
  • Total Put/Call .92 -9.8%
  • NYSE Arms .95 -7.8%
Credit Investor Angst:
  • North American Investment Grade CDS Index 49.88 -.24%
  • America Energy Sector High-Yield CDS Index 643.0 -.78%
  • European Financial Sector CDS Index 55.15 -.36%
  • Italian/German 10Y Yld Spread 153.75 45.5 basis points
  • Asia Ex-Japan Investment Grade CDS Index 63.75 +.1%
  • Emerging Market CDS Index 198.27 -.82%
  • iBoxx Offshore RMB China Corporate High Yield Index 167.07 -.25%
  • 2-Year Swap Spread .5 -1.0 basis point
  • TED Spread 35.0 -3.5 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap -19.75 -17.0 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 65.69 -.02%
  • 3-Month T-Bill Yield 1.55% +1.0 basis point
  • Yield Curve .19 -2.0 basis points
  • China Iron Ore Spot 92.27 USD/Metric Tonne +.13%
  • Citi US Economic Surprise Index 4.7 -.2 basis point
  • Citi Eurozone Economic Surprise Index 7.1 +6.8 points
  • Citi Emerging Markets Economic Surprise Index -23.6 unch.
  • 10-Year TIPS Spread 1.71 +1.0 basis point
  • 6.6% chance of Fed rate cut at Jan. 29th meeting, 20.6% chance of cut at March 18th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +35 open in Japan 
  • China A50 Futures: Indicating +43 open in China
  • DAX Futures: Indicating +13 open in Germany
Portfolio:
  • Slightly Higher: On gains in my tech/medical/biotech sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 100% Net Long

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