Stocks Reversing Lower into Final Hour on Diminished Stimulus Hopes, Virus Shutdown Fears, Senate Control Worries, Tech/Alt Energy Sector Weakness

 Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Most Sectors Declining
  

• Volume: Above Average

• Market Leading Stocks: Underperforming
  

Equity Investor Angst:

• Volatility(VIX) 22.0 +6.1%
• Bloomberg Global Risk On/Risk Off Index 1,371.0 -100.0 points

• Euro/Yen Carry Return Index 130.25 -.21%

• Emerging Markets Currency Volatility(VXY) 10.3 -.8%

• S&P 500 Implied Correlation 45.2 unch

• ISE Sentiment Index 90.0 -35.0 points
  

• Total Put/Call .81 +24.6%

• NYSE Arms 1.05 -1.9%

Credit Investor Angst:

• North American Investment Grade CDS Index 52.03 +2.1%
  

• US Energy High-Yield OAS 595.46 -.64%

• European Financial Sector CDS Index 57.12 -.3%

• Italian/German 10Y Yld Spread 119.0 -1.0 basis point
  

• Asia Ex-Japan Investment Grade CDS Index 57.77 -.03%
  

• Emerging Market CDS Index 164.10 +1.59%
  

• iBoxx Offshore RMB China Corporate High Yield Index 182.14 +.04%

• 2-Year Swap Spread 7.0 -1.0 basis point

• TED Spread 16.0 +.5 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -20.25 +7.25 basis points
  
• MBS  5/10 Treasury Spread  73.75 unch.
  
• IHS Markit CMBX BBB- 6 71.75 unch.

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 62.14 -.17%
• 3-Month T-Bill Yield .07% unch.
  

• Yield Curve 78.75 -.25 basis point
  

• China Iron Ore Spot 148.0 USD/Metric Tonne +.93%

• Citi US Economic Surprise Index 66.60 -1.1 points

• Citi Eurozone Economic Surprise Index 139.8 -1.5 points
  

• Citi Emerging Markets Economic Surprise Index 60.30 -1.1 points

• 10-Year TIPS Spread 1.91 +1.0 basis point
• 100.0% chance of no change at Jan. 27th meeting, 100.0% chance of no change at March 17th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -252 open in Japan 
• China A50 Futures: Indicating -63 open in China

• DAX Futures: Indicating -36 open in Germany

Portfolio:

• Slightly Higher: On gains in my index hedges and emerging market shorts
  

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges and to my emerging market shorts
  

• Market Exposure: Moved to 25% Net Long