Stocks Higher into Final Hour on Diminished Virus Lockdown Fears, Earnings Optimism, Oil Gain, Gaming/Transport Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Around Average

• Market Leading Stocks: Outperforming
  

Equity Investor Angst:

• Volatility(VIX) 17.3 -3.6%
• Bloomberg Global Risk On/Risk Off Index 2,668.0 +100.0 points

• Euro/Yen Carry Return Index 134.18 +.26%

• Emerging Markets Currency Volatility(VXY) 8.8 +.5%

• S&P 500 Implied Correlation 49.1 -.7%

• ISE Sentiment Index 108.0  -21.0 points
  

• Total Put/Call .80 -3.6%

• NYSE Arms 1.7 +114.1%

Credit Investor Angst:

• North American Investment Grade CDS Index 49.39 -1.5%
  

• US Energy High-Yield OAS 440.22 -.31%

• European Financial Sector CDS Index 53.94 -.31%

• Italian/German 10Y Yld Spread 103.0 -2.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 90.13 +.01%
  

• Emerging Market CDS Index 163.25 +.83%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 38.0 -.55%

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

• TED Spread 7.75 unch.
  

• 3-Month EUR/USD Cross-Currency Basis Swap -2.75 unch.
  
• MBS  5/10 Treasury Spread  74.25 unch.
  
• IHS Markit CMBX BBB- 6 73.5 unch.
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 59.93 -.20%
• 3-Month T-Bill Yield .05% unch.
  

• Yield Curve 101.0 unch.
  

• China Iron Ore Spot 165.50 USD/Metric Tonne -5.74%

• Citi US Economic Surprise Index -3.4 -.6 point

• Citi Eurozone Economic Surprise Index 32.8 +2.0 points
  

• Citi Emerging Markets Economic Surprise Index 40.0 +2.3 points

• 10-Year TIPS Spread 2.32 -3.0 basis points
• 100.0% chance of no change at Nov. 3rd meeting, 100.0% chance of no change at Dec. 15th meeting

US Covid-19:

• 202 new infections/100K people(last 7 days total) +10/100K people
• 38% of Jan. 7th, 2021 peak(highest daily avg. new infections) +2.0 percentage points
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +92 open in Japan 
• China A50 Futures: Indicating -155 open in China

• DAX Futures: Indicating -3 open in Germany

Portfolio:

• Higher: On gains in my biotech/consumer discretionary/industrial/tech sector longs
  

• Disclosed Trades: None
  

• Market Exposure: 100% Net Long