Stocks Reversing Slightly Lower into Afternoon on Economic Data, Profit-Taking, Technical Selling, Financial/Energy Sector Weakness

 Broad Equity Market Tone:

• Advance/Decline Line: Slightly Lower
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 12.2 -2.6%

• Euro/Yen Carry Return Index 126.49 +.14%

• Emerging Markets Currency Volatility(VXY) 6.39 -2.4%

• S&P 500 Implied Correlation 37.57 +.7%

• ISE Sentiment Index 93.0 -20
  

• Total Put/Call .76 +16.9%

• NYSE Arms 1.15 +4.6%

Credit Investor Angst:

• North American Investment Grade CDS Index 43.93 +.65%
  

• America Energy Sector High-Yield CDS Index 534.0 +2.77%

• European Financial Sector CDS Index 50.45 -.21%

• Italian/German 10Y Yld Spread 152.0 -3.75 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 54.01 -1.64%
  

• Emerging Market CDS Index 180.67 +.75%
  

• iBoxx Offshore RMB China Corporate High Yield Index 168.63 +.02%

• 2-Year Swap Spread 6.5 unch.

• TED Spread 31.25 -3.75 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -2.75 unch.

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 66.59 +.03%
• 3-Month T-Bill Yield 1.53% unch.

• Yield Curve .25-3.0 basis points

• China Iron Ore Spot 91.52 USD/Metric Tonne -.54%

• Citi US Economic Surprise Index .5 -1.2 points

• Citi Eurozone Economic Surprise Index 43.30 +.9 point

• Citi Emerging Markets Economic Surprise Index -6.0 +2.4 basis points

• 10-Year TIPS Spread 1.76 unch.
• 3.8% chance of Fed rate cut at March 18th meeting, 12.4% chance of cut at April 29th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -90 open in Japan 
• China A50 Futures: Indicating +28 open in China

• DAX Futures: Indicating -6 open in Germany

Portfolio:

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

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 75% Net Long