Thursday, April 16, 2020

Stocks Slightly Higher into Final Hour on Global Stimulus Hopes, Diminishing Coronavirus Fears, Technical Buying, Biotech/Healthcare Sector Strength

 Broad Equity Market Tone:
  • Advance/Decline Line: Lower
  • Sector Performance: Mixed
  • Volume: Above Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 41.2 +.8%
  • Euro/Yen Carry Return Index 121.07 -.43%
  • Emerging Markets Currency Volatility(VXY) 11.5 +1.6%
  • S&P 500 Implied Correlation 77.5 -2.9%
  • ISE Sentiment Index 68.0 +16.0 points
  • Total Put/Call .94 -6.0%
  • NYSE Arms 1.28 -32.3%
Credit Investor Angst:
  • North American Investment Grade CDS Index 89.54 +3.5%
  • America Energy Sector High-Yield CDS Index 1,127.0 +2.7%
  • European Financial Sector CDS Index 104.21 +.12%
  • Italian/German 10Y Yld Spread 230.75 -4.25 basis points
  • Asia Ex-Japan Investment Grade CDS Index 119.56 +1.09%
  • Emerging Market CDS Index 350.97 +2.81%
  • iBoxx Offshore RMB China Corporate High Yield Index 159.93 -.04%
  • 2-Year Swap Spread 21.50 +.5 basis point
  • TED Spread 105.0 -5.0 basis points
  • 3-Month EUR/USD Cross-Currency Basis Swap 41.0 -6.0 basis points
  • MBS  5/10 Treasury Spread  128.0 +1.0 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 58.16 -.54%
  • 3-Month T-Bill Yield .12% -1.0 basis point
  • Yield Curve 44.25 -8.0 basis points
  • China Iron Ore Spot 82.40 USD/Metric Tonne -.37%
  • Citi US Economic Surprise Index -131.10 -4.6 points
  • Citi Eurozone Economic Surprise Index -61.40 -.1 point
  • Citi Emerging Markets Economic Surprise Index 13.40 +.3 point
  • 10-Year TIPS Spread 1.03 -17.0 basis points
  • n/a chance of no change at April 29th meeting, n/a chance of no change at June 10th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating -85 open in Japan 
  • China A50 Futures: Indicating -139 open in China
  • DAX Futures: Indicating -47 open in Germany
Portfolio:
  • Slightly Higher: On gains in my tech/biotech/medical/industrial sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 50% Net Long

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