Stocks Mostly Higher into Afternoon on Lower Long-Term Rates, Earnings Optimism, Dollar Weakness, Healthcare/Transport Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance:  Mixed
  

• Volume:  Below Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 20.2 -5.3%
• Bloomberg Global Risk On/Risk Off Index 4,833.0 +4.0 points

• Euro/Yen Carry Return Index 142.67 -.29%

• Emerging Markets Currency Volatility(VXY) 10.9 -.37%

• CBOE S&P 500 Implied Correlation Index 37.0 -11.7% 

• ISE Sentiment Index 88.0 -28.0 points
  

• Total Put/Call 94.0 -1.0%

• NYSE Arms 1.43 +97.1%

Credit Investor Angst:

• North American Investment Grade CDS Index 72.95 -1.5%
  

• US Energy High-Yield OAS 351.72 +.41%

• European Financial Sector CDS Index 87.27 -2.7%

• Italian/German 10Y Yld Spread 165.0 +1.0 basis point
  

• Asia Ex-Japan Investment Grade CDS Index 112.65 +.53%
  

• Emerging Market CDS Index 254.41 -1.4%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 29.4-.02%
• Russia Sovereign Debt Credit Default Swap 11,319.80 +11.0%
  

• 2-Year Swap Spread 27.5 +2.5 basis points
  

• TED Spread 23.5 +1.0 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -20.25 -.75 basis point
  
• MBS  5/10 Treasury Spread  117.0 +3.0 basis points
  
• iShares CMBS ETF 48.72 -.06%
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 53.29 -.03%
• 3-Month T-Bill Yield .83% +1.0 basis point
  

• Yield Curve 24.75 -9.0 basis points
  

• China Iron Ore Spot 153.05 USD/Metric Tonne +.3%

• Citi US Economic Surprise Index 69.40 -.5 point

• Citi Eurozone Economic Surprise Index 23.8 -.2 point
  

• Citi Emerging Markets Economic Surprise Index 44.1 -.6 point

• 10-Year TIPS Spread 2.94 -2.0 basis points
  
• 0.0%(unch.) chance of no change at June 15th FOMC meeting, 0.0%(unch.) chance of no change at July 27th meeting

US Covid-19:

• 84 new infections/100K people(last 7 days total). 5.0%(unch.) of 1/14 peak +3/100K people from prior report.
  
• New Covid-19 patient hospital admissions per 100K population -92.9%(+.5 percentage point) from peak 7-day avg. of 1/9/21 - 1/15/22
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +48 open in Japan 
• China A50 Futures: Indicating -26 open in China

• DAX Futures: Indicating +28 open in Germany

Portfolio:

• Higher: On gains in my industrial/tech/medical sector longs, index hedges and emerging market shorts
  

• Disclosed Trades:  Covered some of my (IWM)/(QQQ) hedges
  

• Market Exposure:  Moved to 75% Net Long