Stocks Higher into Final Hour on AI Infrastructure Build-Out Stock Bargain Hunting, Short-Covering, Technical Buying, Tech/Biotech Sector Strength

Economic/Market Gauges:

• North American Investment Grade CDS Index 62.2 -.2%
• BofA Private Credit Proxy Index 65.4 -1.9% 
• Bloomberg US Securitized MBS/ABS/CMBS Avg. OAS .42 +3.0 basis points
• BofA Global Financial Stress Indicator .09 +3.0 basis points
• European Financial Sector CDS Index 72.5 +1.6% 
• Emerging Market CDS Index 164.7 +.7% 
• Israel Sovereign CDS 60.9 +2.3% 
• Bloomberg Global Trade Policy Uncertainty Index .5 unch.
• US Morning Consult Daily Consume Sentiment Index 84.7 -1.1

• Citi US Economic Surprise Index 42.6 -2.5

• Citi Eurozone Economic Surprise Index 37.0 -6.4

• Citi Emerging Markets Economic Surprise Index 33.2 +5.9
• S&P 500 Current Quarter EPS Growth Rate YoY(46 of 500 reporting) +47.4% -2.5 percentage points
• S&P 500 Blended Forward 12 Months Mean EPS Estimate 410.78 +.83:  Growth Rate +25.2% +.3 percentage point, P/E 18.8 -.1
• S&P 500 Current Year Estimated Profit Margin 16.31% +2.0 basis points
• NYSE FANG+ Current Quarter EPS Growth Rate YoY(1 of 10 reporting) +1,013.1% unch.
• NYSE FANG+ Blended Forward 12 Months Mean EPS Estimate 1,092.25 +2.57: Growth Rate +62.7% +.4 percentage point, P/E 17.3 -.2
• Bloomberg US Financial Conditions Index .88 -20.0 basis points
• US Yield Curve 37.25 basis points (2s/10s) +1.0 basis point
• Bloomberg Industrial Metal Index 172.7 +.4%
• Dutch TTF Nat Gas(European benchmark) 87.9 euros/megawatt-hour +.4%
• US Recession Within 6 Months Probability(3M/18M Forward Yld Curve Spread) 10.8% -.4%
• US Atlanta Fed GDPNow Q3 Forecast +3.6% unch.
• US 10-Year T-Note Yield 5.13% +5.0 basis points
• 1-Year TIPS Spread 3.0 -1.0 basis point

• Highest target rate probability for Dec. 9th FOMC meeting: 82.8% (-1.7 percentage points) chance of 3.75%-4.0%. Highest target rate probability for Jan. 27th meeting: 75.2%(-.3 percentage point) chance of 4.0%-4.25%. (current target rate is 3.75-4.0%)
  

Overseas Futures:

• Nikkei 225 Futures: Indicating -150 open in Japan 
• China A50 Futures: Indicating -158 open in China
• KOSPI 200 Futures: Indicating -4 open in South Korea 

• DAX Futures: Indicating +9 open in Germany

Portfolio:

• Slightly Higher: On gains in my tech/biotech sector longs
• Disclosed Trades: None
• Market Exposure: 50% net long