Stocks Modestly Lower into Afternoon on Mideast War Resumption Worries, Higher Long-Term Rates, Sector Rotation, Tech/Alt Energy Sector Weakness

Economic/Market Gauges:

• North American Investment Grade CDS Index 50.3 +1.0%
• BofA Private Credit Proxy Index 69.82 -.2% 
• Bloomberg US Securitized MBS/ABS/CMBS Avg. OAS .26 unch.
• BofA Global Financial Stress Indicator -.27 -3.0 basis points
• European Financial Sector CDS Index 53.5 +.8%
• Emerging Market CDS Index 140.2 +.7%
• Israel Sovereign CDS 56.3 +1.2% 
• Bloomberg Global Trade Policy Uncertainty Index .5 unch.
• US Morning Consult Daily Consume Sentiment Index 91.4 +3.2

• Citi US Economic Surprise Index 58.7 +1.0

• Citi Eurozone Economic Surprise Index 2.60 +.2

• Citi Emerging Markets Economic Surprise Index 36.7 -.9
• S&P 500 Current Quarter EPS Growth Rate YoY(15 of 500 reporting) +174.4% unch.
• S&P 500 Blended Forward 12 Months Mean EPS Estimate 372.53 +n/a:  Growth Rate +26.7% +n/a, P/E 20.2 -n/a
• S&P 500 Current Year Estimated Profit Margin 15.63% +1.0 basis point
• NYSE FANG+ Current Quarter EPS Growth Rate YoY(1 of 10 reporting) +1,226.6% unch.
• NYSE FANG+ Blended Forward 12 Months Mean EPS Estimate 898.96 +n/a: Growth Rate +73.4% +n/a, P/E 19.2 -n/a 
• Bloomberg US Financial Conditions Index 1.17 +3.0 basis points
• US Yield Curve 36.75 basis points (2s/10s) +1.25 basis points
• Bloomberg Industrial Metal Index 171.63 -.01%
• Dutch TTF Nat Gas(European benchmark) 47.35 euros/megawatt-hour +7.4%
• US Recession Within 6 Months Probability(3M/18M Forward Yld Curve Spread) 15.5% unch.
• US Atlanta Fed GDPNow Q2 Forecast +1.4% +.2 percentage point
• US 10-Year T-Note Yield 4.52% +5.0 basis points
• 1-Year TIPS Spread 1.39 +3.0 basis points

• Highest target rate probability for September 29th FOMC meeting: 47.9% (+1.7 percentage points) chance of 3.75%-4.0%. Highest target rate probability for Oct. 28th meeting: 46.3%(+.6 percentage point) chance of 3.75%-4.0%. (current target rate is 3.5-3.75%)
  

Overseas Futures:

• Nikkei 225 Futures: Indicating -66 open in Japan 
• China A50 Futures: Indicating -220 open in China
• KOSPI 200 Futures: Indicating +2 open in South Korea 

• DAX Futures: Indicating +230 open in Germany

Portfolio:

• Higher: On gains in my financial//biotech sector longs, index hedges and emerging market shorts
• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
• Market Exposure: Moved to 75% Net Long

Bear Radar

Style Underperformer:

• Mid-Cap Growth -.9%

Sector Underperformers:

• 1) Alt Energy -5.0% 2) AI Innovation -4.7% 3) Semis -4.2%

Stocks Falling on Unusual Volume: 

• METC, CCXI, KLRA, LFUS, PENG, CHRN, IQMX, FPS, WULF, ESI, SOLS, GNRC, SHAZ, UCTT and RIVN

Stocks With Unusual Put Option Activity:

• 1) SOLS 2) ALL 3) OPTU 4) KIE 5) VRNS

Stocks With Most Negative News Mentions:

• 1) RIVN 2) WDC 3) ABTC 4) LCID 5) VERI

Sector ETFs With Most Negative Money Flow:

• 1) FXL 2) XLC 3) SOXX 4) COPX 5) XOP

Charts:

• ETFs Falling on Unusual Volume
• Stocks Falling on Unusual Volume

Bull Radar

Style Outperformer:

• Large-Cap Value +.3%

Sector Outperformers:

• 1) Computer Services +4.0% 2) Pharma +1.7% 3) Biotech +1.7%

Stocks Rising on Unusual Volume:

• CRNX, AGIO, MAAS, RPD, EVMN, RAPP, TRVI, IMMX, BAND, NIQ, FIG, NET, VRDN, MGTX, ALMS, KURA, DOCN, SEPN, BLZE, ANAB, STRO, VERA, IRON, VKTX, AKTS, AVPT, GLUE, RARE, NTNX, FRSH, MPLT, NAVN, TENX, RLAY, ORKA, ARQT, PTGX, ADBE, TTAN, DYN, BRBR, PAYP, NKTR, CLDX, OFRM, ZVRA, PLTR, IONS, ELVN, SHEL, AXON, PHVS, APPF, LINE and RIGL

Stocks With Unusual Call Option Activity:

• 1) RSP 2) SOLS 3) VERA 4) CART 5) FLR 

Stocks With Most Positive News Mentions:

• 1) AGIO 2) SKIN 3) DOCN 4) JNJ 5) AMPG

Sector ETFs With Most Positive Money Flow:

• 1) DRAM 2) XLF 3) XLY 4) XLB 5) IGV

Charts: 

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume

Tomorrow's Earnings/Economic Releases of Note; Market Movers

Earnings of Note 
Company/Estimate 

Before the Open:

• (HELE)/.02

After the Close: 

• (AZZ)/1.69
• (LEVI)/.24
• (PSMT)/1.32 

Economic Releases 

10:00 am EST

• Wholesale Trade Sales MoM for May is estimated to rise +.8% versus a +2.0% gain in April. 

2:00 pm EST

• The FOMC Meeting Minutes for June 17th. 

10:30 am EST

• Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,867,750 barrels versus a -3,775,000 barrel decline the prior week. Gasoline supplies are estimated to fall by -1,324,250 barrels versus a -2,333,000 barrel decline the prior week. Distillate inventories are estimated to rise by +907,750 barrels versus a +2,843,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to fall by -.1% versus a +.5% gain prior. 

3:00 pm EST

• Consumer Credit for May is estimated to fall to $17.5B versus $20.733B in April. 

Upcoming Splits

• None of note

Other Potential Market Movers

• The Fed's Logan speaking, Fed's Williams speaking, Atlanta Fed GDPNow Q2 update, 10Y T-Note auction, weekly MBA Mortgage Applications report, Thomson Reuters IPSOS PCSI for July, Bernstein Retail Forum and the (AVAV) investor day could also impact global trading tomorrow.

US Equity Market Hours

• 9:30 am - 4:00 pm EST

Mid-Day Market Internals

NYSE Composite Index:

• Volume Running -10.7% Below 100-Day Average 
• Nasdaq/NYSE Volume Ratio 13.7 +1.6
• 7 Sectors Rising, 4 Sectors Declining
• 45.4% of Issues Advancing, 52.5% Declining 
• TRIN/Arms .79 -54.4%
• Non-Block Money Flow +$106.2M
  
• 115 New 52-Week Highs, 20 New Lows
• 57.5% (-1.8%) of Issues Above 200-day Moving Average
• Average 14-Day RSI 63.6 +.3

Polymarket: 

• Will China invade Taiwan by end of 2026? 4.0% unch.
• Strait of Hormuz traffic returns to normal by July 31st 7.0% -7.0 percentage points
• Iran agrees to end enrichment of uranium by July 31st 2.0% -1.0 percentage point
• Israel withdraws from Lebanon by July 31st 1.0% unch.
• US Invades Iran before 2027 12.0% -2.0 percentage points

Other:

• Bloomberg Global Risk-On/Risk-Off Index 125.0 +.2%
• Global Monitor Iran Instability Index 57.0 -6.0
• Strait of Hormuz Oil Tanker Traffic Curtailed Estimate 73.0% n/a
• US High-Yield Tech Sector OAS Index 453.75 -2.0 basis points
• Bloomberg Cyclicals/Defensives Index 259.5 -2.0%
• Morgan Stanley Growth vs Value Index 159.2 -1.9%
• CNN Fear & Greed Index 43.0 (FEAR) unch.
• 1-Day Vix 8.8 +.3%
• Vix 15.8 +1.7%
  
• Total Put/Call .87 +8.8%

Thursday Watch

Night Trading 

• Asian equity indices are -1.75% to -.5% on average. 
• Asia Ex-Japan Investment Grade CDS Index 68.0 +.25 basis point. 
• China Sovereign CDS 37.25 unch.
• China Iron Ore Spot 98.80 USD/Metric Tonne +1.2%. 
• Crude Oil 67.61/bbl. -1.4% 
• Gold 4,065.20 USD/t oz. -.43%. 
• Swiss Franc/Offshore Chinese Renminbi Cross 8.40 +.04%.
• Bloomberg Emerging Markets Currency Index 34.69 -.01%.
• Bloomberg Global Risk-On/Risk Off Index 122.5 -.8%.
• US 10-Year Yield 4.48% unch.
• Japan 30-Year Yield 4.0% +2.0 basis points. 
• Volatility Index(VIX) futures 19.1 -.25%.
• Euro Stoxx 50 futures -.03%. 
• S&P 500 futures +.08%.
• NASDAQ 100 futures +.34%.

Morning Preview Links

BOTTOM LINE: Asian indices are lower, weighed down by technology and industrial shares in the region. I expect US stocks to open modestly higher and to weaken into the afternoon, finishing mixed.  The Portfolio is 75% net long heading into the day.u

Stocks Reversing Slightly Higher into Afternoon on Positive Earnings Outlook Revisions, Sector Rotation, Crypto Bounce, Healthcare/Financial Sector Strength

Economic/Market Gauges:

• North American Investment Grade CDS Index 50.6 -.7%
• BofA Private Credit Proxy Index 70.6 +1.1% 
• Bloomberg US Securitized MBS/ABS/CMBS Avg. OAS .27 +2.0 basis points
• BofA Global Financial Stress Indicator -.24 -5.0 basis points
• European Financial Sector CDS Index 54.3 -.2%
• Emerging Market CDS Index 141.3 +.6%
• Israel Sovereign CDS 56.6 +4.3% 
• Bloomberg Global Trade Policy Uncertainty Index .5 unch.
• US Morning Consult Daily Consume Sentiment Index 92.4 +2.1

• Citi US Economic Surprise Index 51.5 -8.0

• Citi Eurozone Economic Surprise Index -20.4 -2.5

• Citi Emerging Markets Economic Surprise Index 36.0 +3.6
• S&P 500 Current Quarter EPS Growth Rate YoY(15 of 500 reporting) +174.4% -14.4 percentage points
• S&P 500 Blended Forward 12 Months Mean EPS Estimate 371.58 +.07:  Growth Rate +26.3% unch., P/E 20.2 unch.
• S&P 500 Current Year Estimated Profit Margin 15.62% +2.0 basis points
• NYSE FANG+ Current Quarter EPS Growth Rate YoY(1 of 10 reporting) +1,226.6% unch.
• NYSE FANG+ Blended Forward 12 Months Mean EPS Estimate 894.93 +.62: Growth Rate +72.6% +.1 percentage point, P/E 19.2 +.3 
• Bloomberg US Financial Conditions Index 1.24 +15.0 basis points
• US Yield Curve 31.0 basis points (2s/10s) +3.0 basis points
• Bloomberg Industrial Metal Index 169.67 -.8%
• Dutch TTF Nat Gas(European benchmark) 43.1 euros/megawatt-hour -.9%
• US Recession Within 6 Months Probability(3M/18M Forward Yld Curve Spread) 15.0% -1.4 percentage points
• US Atlanta Fed GDPNow Q2 Forecast +1.2% -1.3 percentage points
• US 10-Year T-Note Yield 4.47% +1.0 basis point
• 1-Year TIPS Spread 1.43 +1.0 basis point

• Highest target rate probability for September 29th FOMC meeting: 50.7% (+.1 percentage point) chance of 3.75%-4.0%. Highest target rate probability for Oct. 28th meeting: 47.0%(+.5 percentage point) chance of 3.75%-4.0%. (current target rate is 3.5-3.75%)
  

Overseas Futures:

• Nikkei 225 Futures: Indicating -570 open in Japan 
• China A50 Futures: Indicating -207 open in China
• KOSPI 200 Futures: Indicating -36 open in South Korea 

• DAX Futures: Indicating +160 open in Germany

Portfolio:

• Slightly Higher: On gains in my financial/consumer discretionary sector longs, index hedges and emerging market shorts
• Disclosed Trades: None
• Market Exposure: 100% Net Long

Bear Radar

Style Underperformer:

• Large-Cap Growth -.8%

Sector Underperformers:

• 1) Semis -5.9% 2) AI Innovation -5.7% 3) Construction -2.1%

Stocks Falling on Unusual Volume: 

• GPCR, RRX, VSAT, PATK, WMT, CRESY, WTTR, FMC, CEG, FRPT, WYFI, CDNL, TARS, SHAZ, FCEL, ROAD, AA, AMAT, CRWV, GLW, NBIS and CHRN

Stocks With Unusual Put Option Activity:

• 1) HTZ 2) GGAL 3) ZIM 4) CIA 5) U

Stocks With Most Negative News Mentions:

• 1) NBIS 2) CAT 3) TARS 4) SSTK 5) AMAT

Sector ETFs With Most Negative Money Flow:

• 1) PTF 2) XLK 3) PRN 4) XLI 5) IGV

Charts:

• ETFs Falling on Unusual Volume
• Stocks Falling on Unusual Volume

Bull Radar

Style Outperformer:

• Large-Cap Value +.9%

Sector Outperformers:

• 1) I-Banking +4.5% 2) Software +4.1% 3) Social Media +3.7%

Stocks Rising on Unusual Volume:

• ALIT, RAAQ, PRGS, RDDT, GH, MSTR, ZBIO, MNTN, COIN, DLO, RGNX, MH, APP, ASST, META, CELH, GLOB, GRND, BILL, HIMS, ALOY, TEM, SPGI, PLTR, ABX, PESI, KRMN, VERX, ASTH, PATH, UMAC, KD, GIS, DAVE, AXON, LMND, NVCT, CAI, ROOT, ACN, MGNI, ELF, SE, ZSQR, NVCT, DNA, CLBT, JACK, CCEP, KTOS, MATX, ALSN, PACS, KMTS, QTWO, MSM, PUBM, TBBK, AVAV, Z, FLYW, PRCH, PGY, URGN, KMTS, IIIV, PTRN, LI, GPN, APD, ZG, TALO, BIDU, GRRR, ICE, PSNL, ALKT, HLI, EZPW, CYRX, VRSK, CBL, ADPT, MAMA, PSO, RBRK, CWK, FOX, ZPEV, AVPT, FSUN, OMDA, TFPM, BB, ESTA, TRMB, FOXA, FHB, CON, SDRL, WSE and RCAT

Stocks With Unusual Call Option Activity:

• 1) DLO 2) ICLN 3) CGNX 4) ODD 5) HTZ 

Stocks With Most Positive News Mentions:

• 1) EHGO 2) GNS 3) GH 4) AMPL 5) TOX

Sector ETFs With Most Positive Money Flow:

• 1) XLC 2) SMH 3) XLF 4) KRE 5) XHB

Charts: 

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume

Tomorrow's Earnings/Economic Releases of Note; Market Movers

Earnings of Note 
Company/Estimate 

Before the Open:

• (LNN)/1.14

After the Close: 

• None of note

Economic Releases 

8:30 am EST

• The Change in Non-Farm Payrolls for June is estimated at 115K versus 172K in May.
• Average Hourly Earnings MoM for June is estimated to rise +.3% versus a +.3% gain in May.
• The Unemployment Rate for June is estimated at 4.3% versus 4.3% in May.
• Initial Jobless Claims for last week is estimated to rise to 218K versus 215K the prior week.
• Continuing Claims are estimated to fall to 1820K versus 1821K prior. 

10:00 am EST

• Factory Orders for May is estimated to fall -2.0% versus a +4.8% gain in April.
• Factory Orders Ex Transports for May is estimated to rise +1.0% versus a +1.3% gain in April.
• Final Durable Goods Orders readings for May. 

Upcoming Splits

• None of note

Other Potential Market Movers

• The weekly Fed's weekly balance sheet report, US Baker Hughes rig count, weekly EIA natural gas inventory report could also impact global trading tomorrow.

US Equity Market Hours

• 9:30 am - 4:00 pm EST

Mid-Day Market Internals

NYSE Composite Index:

• Volume Running +3.5% Above 100-Day Average 
• Nasdaq/NYSE Volume Ratio 12.1 -2.8
• 8 Sectors Rising, 3 Sectors Declining
• 65.1% of Issues Advancing, 32.5% Declining 
• TRIN/Arms .79 -56.4%
• Non-Block Money Flow +$50.6M
  
• 137 New 52-Week Highs, 28 New Lows
• 57.6% (+4.0%) of Issues Above 200-day Moving Average
• Average 14-Day RSI 63.9 +1.4

Polymarket: 

• Will China invade Taiwan by end of 2026? 4.0% -1.0 percentage point 
• Strait of Hormuz traffic returns to normal by July 31st 31.0% -3.0 percentage points
• Iran agrees to end enrichment of uranium by July 31st 4.0% -1.0 percentage point
• Israel withdraws from Lebanon by July 31st 2.0% unch.
• US Invades Iran before 2027 14.0% unch.

Other:

• Bloomberg Global Risk-On/Risk-Off Index 123.5 +.3%
• Global Monitor Iran Instability Index 62.0 -1.0
• Strait of Hormuz Oil Tanker Traffic Curtailed Estimate 92.0% unch.
• US High-Yield Tech Sector OAS Index 463.0 +4.5 basis points
• Bloomberg Cyclicals/Defensives Index 265.3 +1.2%
• Morgan Stanley Growth vs Value Index 162.8 -.8%
• CNN Fear & Greed Index 33.0 (FEAR) +3.0
• 1-Day Vix 10.4 -10.1%
• Vix 16.4 -.1%
  
• Total Put/Call .76 -11.6%

Wednesday Watch

Around X:

• @Business  

• Kushner and Witkoff held positive discussions with regional leaders in Qatar and technical talks with Iran are moving ahead, according to a senior administration official, as the countries seek to ease tensions in the wake of recent clashes. 
• Confidence among Japan’s large manufacturers rose to the highest level since 2018, supporting the Bank of Japan’s stance to keep raising interest rates. 
• CIA Director John Ratcliffe vowed to step up the agency’s efforts to deploy artificial intelligence and quantum computing, stressing that rapid developments in emerging technologies are changing the nature of geopolitics.
• The biggest buyer of Bitcoin is selling the cryptocurrency, upending many of the core principles that underlie the digital-asset world. 
• Donald Trump reported earning at least $1.2 billion in 2025 from crypto and memecoin-related businesses, according to his latest annual financial disclosure.
• NASA selected three more companies to send robotic landers to the moon as part of efforts to establish a lunar base before the end of the decade. 
• Get up to speed on what's moving global markets. 
• Here’s what you need to know to start your day.  

• @ZeroHedge

• RFK Jr. Announces He's Ending Emergency Liability Protection For COVID-19 Vaccine Makers. 
• El Nino Heat Wave Fuels HVAC Boom: Goldman Maps The Trade.
• San Francisco Archdiocese Agrees To $395 Million Abuse Settlement.
• Over the past two weeks, we have worked closely with Anthropic to analyze and approve Fable 5 to ensure alignment across the US Government and strengthen America’s leadership in AI.
• Everyone Sold Tech. Then This Happened.
• It’s Time To Stop Pretending That Migrants Are Entitled To Equal Citizenship.
• Democrat Politicians Are Being Attacked By The Woke Mob They Helped Create.
• Whistleblower Documents Highlight Serious Safety Concerns For NIH Virus Lab In Montana.
• Largest US Power Grid Declares Emergency To Prevent Blackouts.
• IRAN STATE TV CUTS OFF GHALIBAF LIVE, EXPOSING THE RIFT WITHIN ITS OWN REGIME. Iranian state TV abruptly cut off Parliament Speaker Mohammad Bagher Ghalibaf during a live interview as he addressed critics opposing negotiations with the United States. State TV later claimed the second part of the interview will air tomorrow. Iran’s political wing is trying to manage negotiations. The IRGC hardliners are signaling war. (video)                 
• *TRUMP OWNED AT LEAST $5M IN APPLE SHARES, DISCLOSURE SHOWS. *TRUMP BOUGHT AT LEAST $100,001 IN PLTR SHARES, DISCLOSURE SHOWS.
• Buffett Delays Midyear Donation To Gates Foundation Amid Epstein Controversy.
• Oman delivered a proposal to the US and other allies on the future of the Strait of Hormuz: CNN. The diplomat said the proposal, which has not been finalized, outlines a plan for shipping companies to pay service fees to use the strait, but they would not be called tolls. The diplomat did not elaborate on the difference between a service fee and a toll. Significant disagreements remain over the proposal, the diplomat said noting it is expected to be one of the topics discussed in Doha this week. Another regional source with knowledge of the negotiations said Oman is not pushing for a fee-based system in the strait. The US source said American negotiators have concerns about the proposal that they intend to discuss with the Omanis, though the source added that Oman has maintained its commitment to no tolling and that the proposal does not include mandatory tolls.
• The New Socialists: Elite, Ungrateful, And Toxic As Ever.
• U.S. HAS NOT RELEASED ANY OF THE $6B IN IRANIAN FROZEN FUNDS FOR HUMANITARIAN GOODS AS STIPULATED IN MOU AND WILL NOT DO SO UNTIL TEHRAN FULFILLS ITS OBLIGATIONS - NEW YORK POST CITING U.S. ADMINISTRATION OFFICIAL.
• *MAG 7 INDEX DROPS 8.9% IN JUNE, WORST MONTH SINCE MARCH 2025.
• War, Warsh, AI Worries, & Leverage Unwinds; Manic Markets Make Multi-Year Records In Q2/H1.                

• @CNBC

• CNBC Daily Open: AI demand fuels investors' portfolios while oil posts biggest monthly decline. 
• Wednesday's big stock stories: What’s likely to move the market in the next trading session.
• China-linked actors target more than technology as AI competition with U.S. intensifies.
• Dow futures dip after blue-chip index posts strongest first-half performance since 2021: Live updates.
• Palo Alto, CrowdStrike wrap best quarter ever as AI threats bolster cyber demand.
• Anthropic launches AI drug discovery program, joining tech giants in betting on healthcare.
• Amazon Web Services on Tuesday announced it is investing $1 billion in a new Forward Deployed Engineering unit that will help its customers build and roll out artificial intelligence systems. A forward-deployed engineer, or an FDE, is an employee who is embedded directly within a different business to try and accelerate a technical transformation. Defense contractor Palantir coined the term more than a decade ago, but it’s seen a resurgence among software vendors looking to boost adoption by taking talent directly into clients’ facilities.         

• @TheTranscript

• Nike CFO: "We delivered fourth quarter results in line with our expectations, demonstrating financial discipline in an increasingly challenging operating environment, where sell-through remains challenged". $NKE: -3% AH. 
• $AMZN Vice President of Agentic AI: "In Q1 of this year alone, Amazon Bedrock processed more requests than all the previous years combined".

• @WallStEngine

• $NKE Q4’26 EARNINGS HIGHLIGHTS.  Revenue: $10.972B (Est. $10.85B) ; -1% YoY.  Gross Margin: 49.2%; +890 bps.  EPS: $0.72; includes $0.52 benefit from expected IEEPA tariff recovery.  Wholesale: $6.6B; +4% reported.  NIKE Direct: $4.1B; -7% reported.  Net Income: $1.1B; +407% YoY...
• Bloom Energy $BE and Brookfield expanded their AI infrastructure power partnership from $5B to $25B, a fivefold increase since October 2025. 
• Physical AI stocks are having a big day today. “The next frontier of AI is physical AI. AI is now beginning to understand the laws of physics.” — $NVDA CEO Jensen Huang. 

Night Trading 

• Asian equity indices are -.5% to +.5% on average. 
• Asia Ex-Japan Investment Grade CDS Index 67.75 unch. 
• China Sovereign CDS 37.25 unch.
• China Iron Ore Spot 97.80 USD/Metric Tonne -1.3%. 
• Crude Oil 69.75/bbl. +.4% 
• Gold 3,997.0 USD/t oz. -1.0%. 
• Swiss Franc/Offshore Chinese Renminbi Cross 8.40 -.03%.
• Bloomberg Emerging Markets Currency Index 34.69 -.09%.
• Bloomberg Global Risk-On/Risk Off Index 124.0 +.7%.
• US 10-Year Yield 4.47% unch.
• Japan 30-Year Yield 3.97% +3.0 basis points. 
• Volatility Index(VIX) futures 18.2 +1.4%.
• Euro Stoxx 50 futures -.14%. 
• S&P 500 futures -.28%.
• NASDAQ 100 futures -.36%.

Morning Preview Links

BOTTOM LINE: Asian indices are mostly higher, boosted by technology and industrial shares in the region. I expect US stocks to open modestly lower and to rally into the afternoon, finishing mixed.  The Portfolio is 100% net long heading into the day.