Bull Radar

Style Outperformer:
Large-cap Value (+.49%)

Sector Outperformers:
Hospitals (+.94%), Computer Services (+.78%) and Telecom (+.60%)

Stocks Rising on Unusual Volume:
SFD, MCF, CATY, ISYS, FDI, MLI, ALO, PEZ, NNI, RXI, SPH and PLD

Stocks With Unusual Call Option Activity:
1) NLY 2) YRCW 3) LCC 4) HRB 5) ATVI

Links of Interest

Market Snapshot Commentary
Market Performance Summary
Style Performance
Sector Performance
WSJ Data Center
Top 20 Biz Stories
IBD Breaking News
Movers & Shakers
Upgrades/Downgrades
In Play
Exchange Volume vs. Average
NYSE Unusual Volume
NASDAQ Unusual Volume
Hot Spots
Option Dragon
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Real-Time Intraday Quote/Chart
Dow Jones Hedge Fund Indexes

Friday Watch

Late Buy/Sell Recommendations
- None of note

Night Trading
Asian Indices are +.25% to +.50% on average.
S&P 500 futures n/a.
NASDAQ 100 futures n/a.

Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Pre-market Stock Quote/Chart
Before the Bell CNBC Video(bottom right)
Global Commentary
WSJ Intl Markets Performance
Commodity Movers
Top 25 Stories
Top 20 Business Stories
Today in IBD
In Play
Bond Ticker
Economic Preview/Calendar
Daily Stock Events
Upgrades/Downgrades
Rasmussen Business/Economy Polling

Earnings of Note
Company/EPS Estimate
- None of note

Economic Releases

- None of note

Upcoming Splits
- None of note

Other Potential Market Movers
- The (MVCO) shareholders meeting could also impact trading today.

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

Stocks Finish Higher, Boosted by Airline, Gaming and Financial Shares

Evening Review
Market Summary
Top 20 Biz Stories
Today’s Movers
Market Performance Summary
WSJ Data Center
Sector Performance
ETF Performance
Style Performance
Commodity Movers
Market Wrap CNBC Video(bottom right)
S&P 500 Gallery View
Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Commentary
After-hours Movers
After-hours Real-Time Stock Bid/Ask
After-hours Stock Quote
After-hours Stock Chart
In Play

Stocks Higher into Final Hour on Falling Credit Market Angst, Less Financial Sector Pessimism and Short-Covering

BOTTOM LINE: The Portfolio is higher into the final hour on gains in my Financial longs, Retail longs, Internet longs and Medical longs. I covered all my (IWM)/(QQQQ) hedges and some of my (EEM) short today, thus leaving the Portfolio 100% net long. The tone of the market is mildly bullish as the advance/decline line is slightly higher, most sectors are gaining and volume is very light. Investor anxiety is above average. Today’s overall market action is mildly bullish. The VIX is falling 1.5% and is elevated at 44.36. The ISE Sentiment Index is about average at 140.0 and the total put/call is below average at .81. Finally, the NYSE Arms has been running around average most of the day, hitting .99 at its intraday peak, and is currently .95. The Euro Financial Sector Credit Default Swap Index is falling 2.01% today to 111.94 basis points. This index is up from a low of 52.66 on May 5^th, but down from 157.81 on Sept. 16^th. The North American Investment Grade Credit Default Swap Index is falling 1.40% to 207.89 basis points. The TED spread is rising 1.27% to 148 basis points. The TED spread is now down 318 basis points in just over two months. The 2-year swap spread is down another 3.58% to 67.25 basis points. The Libor-OIS spread is plunging 9.55% to 112 basis points. The 10-year TIPS spread, a good gauge of inflation expectations, is down 1 basis point to .10%, which is down 251 basis points in just five months and at the lowest level since Bloomberg record-keeping began in August 1998. The 10-year TIPS spread bottomed at .65% in October 1998 during the Asian financial crisis and at 1.24% in October 2001 during the technology bubble-bursting meltdown. The 3-month T-Bill is yielding -.01%, which is down 1 basis point today. The plunge in the Libor-OIS spread, Greenspan’s favorite gauge of credit market health, is a big positive. As well, the yen is beginning to give up morning gains and has been trending lower over the last week, which is a positive. Oil is getting oversold again short-term, but will very likely see lower lows next year. I expect this to finally be viewed as the big positive that it is next year. Those that say the market can’t rise without oil rising are ignoring the long-term history between the two. Inflation should be non-existent next year and as the economy stabilizes those stocks that can grow earnings at a relatively healthy rate despite sluggish growth should see their multiples expand dramatically. I still expect another push higher in the major averages before year-end. Nikkei futures indicate an +128 open in Japan and DAX futures indicate an +37 open in Germany on Friday. I expect US stocks to trade modestly higher into the close from current levels on lower energy prices, diminishing credit market angst, bargain-hunting, less financial sector pessimism and short-covering.

Bull Radar

Style Outperformer:
Large-cap Value (+.30%)

Sector Outperformers:
Airlines (+2.34%), Gaming (+1.55%) and Retail (+1.19%)

Stocks Rising on Unusual Volume:
SUPX, RMBS, ACV, TSO, TXT, INDB, AMSF, ACAP, HNP, SPH, OI, VLY and OHI

Stocks With Unusual Call Option Activity:
1) BRCM 2) CB 3) EBAY 4) RYL 5) GE