Stocks Higher into Final Hour on Global Stimulus Optimism, Economy Re-Opening Hopes, Short-Covering, Financial/Transport Sector Strength

 Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Above Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• Volatility(VIX) 27.9 -.36%

• Euro/Yen Carry Return Index 122.74 +.22%

• Emerging Markets Currency Volatility(VXY) 10.7 +1.4%

• S&P 500 Implied Correlation 61.7 -2.6%

• ISE Sentiment Index 105.0 +16.0 points

• Total Put/Call .87 +8.8%

• NYSE Arms .79 -26.2%

Credit Investor Angst:

• North American Investment Grade CDS Index 80.53 -5.69%
  

• US Energy High-Yield OAS 1,029.66 -1.32%

• European Financial Sector CDS Index 82.52 -3.65%

• Italian/German 10Y Yld Spread 191.50 +1.5 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 101.31 -3.69%
  

• Emerging Market CDS Index 291.22 -.04%
  

• iBoxx Offshore RMB China Corporate High Yield Index 166.20 +.34%

• 2-Year Swap Spread 8.5 -.5 basis point

• TED Spread 23.5 -1.5 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -10.5 -1.5 basis points
• MBS  5/10 Treasury Spread  116.0 +3.0 basis points
• IHS Markit CMBX BBB- 6 64.0 unch.

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 59.97 -.13%
• 3-Month T-Bill Yield .14% +2.0 basis points

• Yield Curve 52.75 +3.75 basis points

• China Iron Ore Spot 93.92 USD/Metric Tonne +2.12%

• Citi US Economic Surprise Index -75.30 +3.9 points

• Citi Eurozone Economic Surprise Index -251.0 -4.7 points

• Citi Emerging Markets Economic Surprise Index 8.8 +1.1 points

• 10-Year TIPS Spread 1.13 -1.0 basis point
• 99.3% chance of no change at July 29th meeting, 99.3% chance of no change at Sept. 16th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating +156 open in Japan 
• China A50 Futures: Indicating -23 open in China

• DAX Futures: Indicating +43 open in Germany

Portfolio:

• Slightly Higher: On gains in my tech/medical/consumer staple/industrial sector longs

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges, then covered some of them

• Market Exposure: 50% Net Long