Stocks Rising into Afternoon on Diminished Virus Lockdown Fears, Declining Fed Taper Worries, Oil Gain, Financial/Gaming Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Outperforming
  

Equity Investor Angst:

• Volatility(VIX) 16.7 -3.1%
• Bloomberg Global Risk On/Risk Off Index 2,875.0 +167.0 points

• Euro/Yen Carry Return Index 133.62 +.41%

• Emerging Markets Currency Volatility(VXY) 8.8 -.9%

• S&P 500 Implied Correlation 49.8 +2.4%

• ISE Sentiment Index 135.0  +17.0 points
  

• Total Put/Call .76 +10.1%

• NYSE Arms .91 +54.2%

Credit Investor Angst:

• North American Investment Grade CDS Index 47.96 -1.1%
  

• US Energy High-Yield OAS 432.79 -2.2%

• European Financial Sector CDS Index 52.64 -.3%

• Italian/German 10Y Yld Spread 108.0 +3.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 71.71 -.91%
  

• Emerging Market CDS Index 158.56 -.8%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 38.4 unch.

• 2-Year Swap Spread 8.0 -1.5 basis points

• TED Spread 8.75 +.25 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -2.75 +.25 basis point
  
• MBS  5/10 Treasury Spread  74.0 -.5 basis point
  
• IHS Markit CMBX BBB- 6 72.75 +.25 basis point
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 59.80 +.10%
• 3-Month T-Bill Yield .05% +1.0 basis point
  

• Yield Curve 105.0 +1.0 basis point
  

• China Iron Ore Spot 154.95 USD/Metric Tonne +1.3%

• Citi US Economic Surprise Index -48.0 -.7 point

• Citi Eurozone Economic Surprise Index -13.3 -5.6 points
  

• Citi Emerging Markets Economic Surprise Index 31.4 -2.3 points

• 10-Year TIPS Spread 2.35 +4.0 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:

• 321 new infections/100K people(last 7 days total) +1/100K people
• 60% of Jan. 7th, 2021 peak(highest daily avg. new infections) unch.
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +101 open in Japan 
• China A50 Futures: Indicating +10 open in China

• DAX Futures: Indicating -7 open in Germany

Portfolio:

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

• Disclosed Trades: None
  

• Market Exposure: 100% Net Long