Stocks Higher into Final Hour on Stable Long-Term Rates, Short-Covering, Technical Buying, Financial/Commodity Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Slightly Higher
  

• Sector Performance:  Mixed
  

• Volume:  Around Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 30.5 -5.6%
• Bloomberg Global Risk On/Risk Off Index 4,126.0 -3.0 points

• Euro/Yen Carry Return Index 140.95 +.13%

• Emerging Markets Currency Volatility(VXY) 12.3 -.33%

• CBOE S&P 500 Implied Correlation Index 50.6 -3.3% 

• ISE Sentiment Index 122.0 +31.0 points
  

• Total Put/Call 1.0 -16.4%

• NYSE Arms .77 +35.1%

Credit Investor Angst:

• North American Investment Grade CDS Index 81.20 -2.2%
  

• US Energy High-Yield OAS 380.55 -.51%

• European Financial Sector CDS Index 99.1 -2.0%

• Italian/German 10Y Yld Spread 182.0 +3.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 122.50 +3.6%
  

• Emerging Market CDS Index 283.99 -2.5%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 29.33 +.17%
• Russia Sovereign Debt Credit Default Swap 3,949.70 +6.2%
  

• 2-Year Swap Spread 32.5 -.25 basis point
  

• TED Spread 44.5 -7.25 basis points
  

• 3-Month EUR/USD Cross-Currency Basis Swap -21.25 +.5 basis point
  
• MBS  5/10 Treasury Spread  124.0 -1.0 basis point
  
• iShares CMBS ETF 48.34 +.02%
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 52.48 +.67%
• 3-Month T-Bill Yield .89% +11.0 basis points
  

• Yield Curve 18.5 (2s/10s) -8.5 basis points
  

• China Iron Ore Spot 141.3 USD/Metric Tonne -1.7%

• Citi US Economic Surprise Index 35.5 +7.5 points

• Citi Eurozone Economic Surprise Index 41.0 +.8 point
  

• Citi Emerging Markets Economic Surprise Index 48.8 -3.9 points

• 10-Year TIPS Spread 2.85 +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:

• 129 new infections/100K people(last 7 days total). 8.0%(+1.0 percentage point) of 1/14 peak +6/100K people from prior report.
  
• New Covid-19 patient hospital admissions per 100K population -91.3%(unch.) from peak 7-day avg. of 1/9/21 - 1/15/22
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +202 open in Japan 
• China A50 Futures: Indicating -87 open in China

• DAX Futures: Indicating -61 open in Germany

Portfolio:

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

• Disclosed Trades:  None
  

• Market Exposure:  50% Net Long