Broad Equity Market Tone:
- Advance/Decline Line: Substantially Higher
- Sector Performance: Almost Every Sector Gaining
- Market Leading Stocks: Outperforming
Equity Investor Angst:
- Volatility(VIX) 13.90 -2.18%
- Euro/Yen Carry Return Index 134.99 +.17%
- Emerging Markets Currency Volatility(VXY) 10.49 +.48%
- S&P 500 Implied Correlation 51.36 +2.01%
- ISE Sentiment Index 61.0 -14.08%
- Total Put/Call 1.05 +2.94%
Credit Investor Angst:
- North American Investment Grade CDS Index 77.98 -4.14%
- European Financial Sector CDS Index 154.66 -2.09%
- Western Europe Sovereign Debt CDS Index 96.09 +.10%
- Emerging Market CDS Index 323.86 -3.86%
- 2-Year Swap Spread 17.0 unch.
- 3-Month EUR/USD Cross-Currency Basis Swap -9.75 unch.
Economic Gauges:
- 3-Month T-Bill Yield .03% unch.
- China Import Iron Ore Spot $125.20/Metric Tonne +1.05%
- Citi US Economic Surprise Index -11.90 -1.7 points
- Citi Emerging Markets Economic Surprise Index -31.70 +2.0 points
- 10-Year TIPS Spread 2.03 -2 bps
Overseas Futures:
- Nikkei Futures: Indicating +137 open in Japan
- DAX Futures: Indicating +36 open in Germany
Portfolio:
- Higher: On gains in my tech, retail, medical and biotech sector longs
- Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges and some of my (EEM) short
- Market Exposure: Moved to 75% Net Long
Bloomberg:
- Cosco Shipping Loss Triples in Latest Sign of Weak China Profits. Cosco
Shipping Co. (600428), a listed unit of China’s biggest shipping group,
said first-half net loss tripled, the latest sign that slowing growth
in the world’s second-biggest economy is eroding corporate earnings. The
shipping company’s loss in the first six months was 78 million yuan
($12.7 million), widening from 23.6 million yuan a year earlier, it said
in a statement to Shanghai’s stock exchange yesterday. Gold miner
Zijing Mining Group Co. (2899), sportswear maker Peak Sport Products
Ltd. (1968) and winemaker Dynasty Fine Wines Group Ltd. (828) are among
others to report sliding profits
or losses this month.
- Ibovespa Rout to Worsen as EPS
Estimates Sink: Corporate Brazil. Brazilian earnings estimates are
falling faster than the Ibovespa benchmark gauge, signaling to HSBC
Holdings Plc and Citigroup Inc. that the world's worst major stock
market selloff isn't over. Analysts have cut the average
earnings-per-share forecast on companies in the Ibovespa, led by
retailer B2W Cia. Digital, by 33% over the past 12 months, outpacing the
index's 15% plunge. That has lifted stock valuations, with the gauge
trading at 11.2 times earnings estimates, up from 9.3 times a year ago,
according to Bloomberg.
- Indonesia Fights Inflation With More-Than-Forecast Rate Rise.
Bank Indonesia raised its key interest rate more than economists
forecast to bolster a weakening currency and ease inflation pressures
after the government increased fuel prices last month. The central
bank boosted the reference rate by 50 basis points to 6.5 percent,
Governor Agus Martowardojo said in Jakarta today. The outcome was
predicted by three of 19 economists surveyed by Bloomberg News, with the
majority expecting a 25 basis-point increase. It also raised the deposit facility rate to 4.75 percent from 4.25 percent.
- Rajoy Punishes Exporters Sustaining Spain’s Economy: Euro Credit. Aliberico SL survived Spain’s economic crisis by expanding
sales of aluminum panels in the U.S., Brazil and Morocco. Prime Minister
Mariano Rajoy’s plan to raise corporate taxes may undermine the
company’s efforts. “The fiscal pressure is intense,” Clemente
Gonzalez Soler, chief executive officer and founder of the Madrid-based
manufacturer, said in a telephone interview. “The changes mean a loss of
competitiveness for Spanish companies just at the moment when we need
to export more.”
- Deutsche Bank(DB) Opaque Loans From Brazil to Italy Obscure Risk. Deutsche Bank AG (DBK), perennially among
the top three in global credit markets, made billions of dollars
of loans to banks worldwide since 2008 and accounted for them in
a way that obscured their continuing risk to investors. Germany’s largest bank managed to lend to firms from Brazil
to Italy while making the transactions disappear from its
balance sheet, even though it still is owed the money, according
to four people with knowledge of the practice and internal
documents provided to Bloomberg News. Deals totaling 2.5 billion euros ($3.3 billion) involving
Italy’s Banca Monte dei Paschi di Siena SpA and Banco do Brasil
SA reveal a technique that obscured Deutsche Bank’s lending
reach when it sent cash to the banks, the documents show. The
company had talks about a similar loan to Dexia SA (DEXB) weeks before
that firm was rescued, according to the documents, and it used
the same accounting for other deals through 2011, two of the
people with knowledge of the transactions said. “We should be very concerned about the opacity and
complexity of these transactions,” said Joshua Rosner, an
analyst at research firm Graham Fisher & Co. in New York who
warned in early 2007 that securities linked to subprime loans
posed risks to the economy.
- European Stocks Gain Amid Continued Fed Stimulus Optimism.
European stocks advanced to their highest level in more than five weeks
after Federal Reserve Chairman Ben S. Bernanke said the U.S. economy
will continue to need stimulus measures. Ashmore Group Plc (ASHM) jumped
7.1 percent after reporting fiscal fourth-quarter net inflows of $4.5
billion. BHP Billiton Ltd. and Rio Tinto Group, the world’s biggest
mining companies, each gained 4.6 percent. Portuguese shares slid amid
uncertainty over
whether the country’s president will approve the new make-up of
the government. The Stoxx 600 increased 0.6 percent to 296.54 at the close
of trading.
- Treasury 10-Year Notes in Longest Rally Since February on Fed. Treasury 10-year notes rose for a
fourth day, the longest rally since February, after Federal
Reserve Chairman Ben S. Bernanke called for maintaining stimulus amid division among policy makers on when to slow bond buying.
Treasury notes remained higher after the U.S. sold $13 billion in
30-year bonds at the highest yield in almost two years. Benchmark
10-year yields approached the biggest weekly drop in more than a year
after Bernanke said yesterday “highly accommodative monetary policy” was
needed for the foreseeable future to support the economy. The yield
climbed to the highest level since August 2011 earlier this week on
speculation the Fed will scale back purchases. “You had more evidence
from the Fed that they are going to great lengths to make the market
realize that they are very data dependent and are not talking about
tightening,” said David Coard, head of fixed-income trading in New York
at Williams
Capital Group LP, a brokerage for institutional investors. The
Fed “won’t do anything that will jeopardize a recovery that’s
still somewhat fragile.”
- Gold Rises to Two-Week High as Bernanke Backs Sustained Stimulus.
Gold futures rallied to a two-week
high after Federal Reserve Chairman Ben S. Bernanke said yesterday that
the U.S. needs “highly accommodative monetary policy for the foreseeable
future.” Silver also gained. Gold futures for August delivery
climbed 2.6 percent to settle at $1,279.90 an ounce at 1:46 p.m. on the
Comex in New York, the biggest jump for a most-active contract since
July 1.
Earlier, the precious metal touched $1,297.20, the highest since
June 24, the last time the price topped $1,300.
- IEA Sees 20-Year Supply Peak Outpacing Demand in 2014. Oil supply will outstrip an
acceleration in demand growth next year as production outside of
OPEC expands at the fastest pace in 20 years, the International Energy Agency predicted.
World oil consumption will climb by 1.2 million barrels a day next
year, up from 930,000 a day in 2013, the IEA said in its first monthly
report with forecasts for 2014. Supplies from outside the
Organization of Petroleum Exporting Countries will jump by 1.3 million
barrels a day amid booming output in North America, shrinking the need
for crude from the 12-member producer group, according to the report. The assessment should “give bulls some cause for alarm,”
the Paris-based adviser to oil-consuming nations said. “While
demand growth is also forecast to pick up momentum,” this
“will still fall short of forecast non-OPEC supply growth.”
- U.S. Mortgage Rates for 30-Year Loans Rise to 2-Year High. U.S. mortgage rates for 30-year
loans rose to a two-year high, increasing borrowing costs amid
signs of an improving job market. The average rate for a 30-year fixed mortgage climbed to
4.51 percent, the highest since July 2011, from 4.29 percent last week, McLean, Virginia-based Freddie Mac said in a statement today. The average 15-year rate increased to 3.53
percent from 3.39 percent.
- Fed’s Duke to Resign Aug. 31 After Five Years as Governor. Federal
Reserve Governor Elizabeth Duke, a former community banker who focused
on regulation, plans to resign her seat effective Aug. 31. Duke, who
never dissented from a Federal Open Market Committee decision, submitted
her letter of resignation to President Barack Obama and made no
announcement about her future plans, the Fed said in a statement today in Washington.
MarketWatch:
Zero Hedge:
Business Insider:
Reuters:
- Chinese banks lend aggressively in early July, risking another crackdown. New
local currency yuan loans extended by China's big four state-owned
banks stood at an unusually large 170 billion yuan ($27.7 billion) in
the first week of July, the official Shanghai Securities News said on
Thursday, a move that may alarm regulators trying to strangle distorted
credit growth. Traders said similarly aggressive lending by Chinese
banks in early June caused the central bank to set off an acute
liquidity squeeze in the country's interbank market.
- Lacklustre Italian auction weakens peripheral bonds. Italian bond yields rose on Thursday after a
lacklustre debt auction that suggested choppy trading caused by the
Federal Reserve's mixed messages on ending stimulus is hurting demand for lower-rated euro zone debt.
- Dollar losses accelerate versus yen and euro. The U.S. dollar's losses
versus the yen and euro accelerated in mid-morning New York
trade on Thursday as investors continued to shed bullish dollar
bets on the greenback in the wake of comments made by Federal
Reserve Chairman Ben Bernanke.
Telegraph:
O Estado de S. Paulo:
- Brazil Considers Postponing New Tax Cuts. Some tax cuts already
announced for next yr may be delayed on need for further fiscal
tightening, citing people in the govt's economic team.
Echoing fears that
European policymakers remain in a state of cognitive dissonance –
recognizing the need for root-and-branch overhaul of peripheral banks,
but backtracking on joint liability plans – Christopher Flowers, the
legendary FIG investor who now runs the £2.3 billion ($3.5 billion)
private equity group JC Flowers, sounded the alarm over the negative
sovereign-bank feedback loop.
In a shot across the bows of market bulls, who cite the return of
capital flows to weaker eurozone states, Flowers issued a stark warning:
"There is a scenario where we have a Lehman-type event: we wake up some
Thursday and a big country is in trouble.
"And the ECB will have to decide to support banks x, y, z. And then the
ECB will, in fact, decide to own bank x, y, z.
While we want you to share, we ask you use the functions on-site rather than copy/paste. See T's & C's for details. http://www.euromoney.com/Article/3211790/CurrentIssue/88924/Restructuring-Flowers-slams-Europe-over-inaction.html?copyrightInfo=true
China News Service:
- China 2H Trade Situation May Be More Serious. Rising costs caused
by yuan appreciation and higher labor costs are "important factors"
that make trade environment more serious, citing Commerce Ministry
spokesman Yao Jian today in Beijing.
Style Underperformer:
Sector Underperformers:
- 1) Banks -.55% 2) Oil Service -.29% 3) I-Banks -.19%
Stocks Falling on Unusual Volume:
- WGO, DECK, BCO, CNSL, GDP, PVTB, RF, KOG, NXST, FLY, TXI, REGI, NUS, DWA, JIVE, YUM, GMCR, DV, SCHW, ANGI, AMTD and CMA
Stocks With Unusual Put Option Activity:
- 1) PBI 2) LM 3) CELG 4) XLK 5) LOW
Stocks With Most Negative News Mentions:
- 1) HAS 2) RIG 3) UTX 4) GM 5) AMGN
Charts:
Style Outperformer:
Sector Outperformers:
- Homebuilders +5.77% 2) Gold & Silver +4.87% 3) Coal +3.89%
Stocks Rising on Unusual Volume:
- PBR, BPI, ALNY, AB, APOL, YY, CELG, ADTN, GOLD, FFIV, TOL, LEN, RIO, DHI, KBH, MAS, ACRX, ACAS, PANW and LPX
Stocks With Unusual Call Option Activity:
- 1) BPI 2) RMTI 3) GDP 4) CELG 5) NRG
Stocks With Most Positive News Mentions:
- 1) COP 2) ADTN 3) LLTC 4) ADI 5) NOC
Charts:
Evening Headlines
Bloomberg:
- BOJ Refrains From Adding to Stimulus as Recovery Signs Seen. The
Bank of Japan refrained from adding to unprecedented monetary stimulus
and raised its assessment of the economy, referring to a recovery for
the first time since before a record 2011 earthquake. Governor Haruhiko
Kuroda’s board stuck with an April pledge to expand the monetary base by
60 to 70 trillion yen ($709 billion) per year, a statement released in
Tokyo today showed. The decision was in line with the forecasts of all
20 economists surveyed by Bloomberg News. The economy is starting to
recover moderately, the central bank said. Economic gains increase the
odds of Kuroda holding fire for the rest of this year, after a Bloomberg
News survey
this week showed analysts abandoning predictions for further easing in
October.
- Australian Unemployment Rises to 2009 High in Challenge for Rudd.
Australia’s unemployment rate rose to the highest since 2009,
underscoring the challenge newly-installed Prime Minister Kevin Rudd
faces as he crafts a re-election pitch centered on economic management. The jobless rate rose to 5.7 percent in June, the highest since September 2009 and up
from a revised 5.6 percent a month earlier, the statistics bureau said
in Sydney today.
- Stocks Rally on Bernanke as Metals Soar Amid Dollar Slump.
Asian stocks, Treasuries and metals rose, while the dollar retreated
after Federal Reserve Chairman Ben S. Bernanke said the world’s biggest
economy will continue to need stimulus. The yen climbed against the
greenback as the Bank of Japan kept its bond-buying program unchanged. The MSCI Asia Pacific Index advanced 1.7 percent to 134.65 at 12:18 p.m. in Tokyo.
- Rajoy
Punishes Exporters Sustaining Spain's Economy: Euro Credit. Aliberico
SL survived Spain's economic crisis by expanding sales of aluminum
panels in the U.S., Brazil and Morocco. Prime Minister Mariano Rajoy's
plan to raise corporate taxes may undermine the company's efforts. "The
fiscal pressure is intense, Clemente Gonzalez Soler, CEO and founder of
the Madrid-based manufacturer, said in a telephone interview. "The
changes mean a loss of competitiveness for Spanish companies just at the
moment when we need to export more."
- Juncker Says His Luxembourg Government Will Resign Tomorrow.
Luxembourg Prime Minister Jean-Claude Juncker, the European Union’s
longest-serving head of government, said he’ll resign tomorrow after he
was implicated in a probe into spying by his security service. Juncker, 58, who led the group of euro-area finance
ministers until January, is stepping down after his socialist
party coalition ally called for early elections. The move came
after a July 5 report to Parliament that said Juncker is
“politically responsible” for failing to inform lawmakers of
“irregularities and supposed illegalities” by the State
Intelligence Service.
- Brazil Raises Rate to 8.5% as Inflation Undermines Growth. Brazil’s central bank raised
borrowing costs by half a percentage point for a second straight
meeting, as the fastest inflation in 20 months undermines
economic growth and fuels social unrest. The bank’s board, led by President Alexandre Tombini, today
voted unanimously to raise the benchmark Selic rate by 50 basis
points to 8.50 percent, as forecast by all 51 economists
surveyed by Bloomberg. “The committee considers that this decision will
contribute to put inflation on a decline and assure that this
trend will persist next year,” policy makers said, according to
their statement posted on the central bank’s website. The
statement was virtually identical to their May 29 communique. Rising prices helped spark the largest street protests in
decades last month that also saw President Dilma Rousseff’s
approval ratings plunge by almost half. Above-target inflation
has undercut months of government stimulus by reducing consumer
confidence and curbing retail sales and industrial output. After
a quarter-point rate increase in April, policy makers doubled
the pace in May and reiterated warnings that the outlook for
inflation remains unfavorable. “The diffusion of inflation remains widespread,” Andre Perfeito, chief economist at Gradual Investimentos, said by
phone from Sao Paulo before today’s decision. “A higher Selic
also seeks to boost credibility after the government implemented
a loose fiscal policy.”
- Rubber Rebounds From Two-Week Low as Oil’s Rally Boosts Appeal. Rubber climbed from the lowest level
in two weeks after oil in New York surged to a 15-month high,
boosting the appeal of the commodity as an alternative to synthetic products used in tires. Rubber
for delivery in December on the Tokyo Commodity Exchange advanced as
much as 2.1 percent to 239.5 yen a kilogram ($2,408 a metric ton) and
traded at 239.2 yen at 10:23 a.m.
Futures reached the lowest settlement since June 27 yesterday.
- Rebar Rises to Highest in Eight Weeks as China’s Stocks Rally. Steel reinforcement-bar futures in
Shanghai advanced to the highest in more than eight weeks after
a rally in the local stock market buoyed sentiment. Rebar for delivery in January on the Shanghai Futures
Exchange rose as much as 0.7 percent to 3,663 yuan ($597) a
metric ton. That’s the highest since May 14 for a most-active
contract. Futures traded at 3,645 yuan at 10:05 a.m. local time.
- Crude-by-Rail
Profits Fall as WTI-Brent Narrows: Energy Markets. Profits from
shipping oil by rail are shrinking as U.S. and global benchmarks
converge to the narrowest since 2010, making pipeline deliveries more
attractive and slowing the demand for train cargoes like the one that
derailed and exploded in Quebec.
Wall Street Journal:
- Weak Trade Points to China Slowing. Premier
Repeats Commitment to Avoid Fresh Stimulus Despite Falling Exports and
Cooling Growth. Chinese Premier Li Keqiang has repeated his commitment
to steer clear of stimulus for the world's second-largest economy, even
as the government reported contracting
exports, amid concern about a continuing general slowdown. Coming after a raft of disappointing data in April and May, June's
weak trade results added to fear that economic growth in the second
quarter continued to slow.
- Pig virus migrates to US, threatens pork prices. Pork prices may be on the rise in the next few months because of a new virus
that has migrated to the U.S, killing piglets in 15 states at an alarming rate
in facilities where it has been reported.
Fox News:
- Did Justice Department support anti-Zimmerman protests after Martin shooting? A conservative watchdog group accused the Justice Department of
helping manage the "pressure campaign" last year against George
Zimmerman in the wake of the Trayvon Martin shooting, citing documents
that show an obscure agency spent thousands assisting local
demonstrations. The little-known agency, the Community Relations Service, is
described by the Justice Department as their "peacemaker" for community
conflicts over race. The protests last spring over Martin's death certainly qualified as
such a conflict. But while the department claims its "peacemaker" agency
does not "take sides" in such disputes, Judicial Watch said the
documents and public accounts show otherwise.
MarketWatch.com:
CNBC:
- Sharp Jump in US Gasoline Seen Within Days. Gasoline
is expected to jump 10 to 20 cents per gallon in the next several days,
as rising oil prices and peak driving season create a perfect storm for
higher prices.
- Don't Rely on Business Investment to Spur Recovery. Capital expenditure across the world is expected to decline this year
and next, according to a new report by rating agency Standard &
Poor's (S&P), which warned that hopes of it driving an economic
recovery were unfounded.
Zero Hedge:
Business Insider:
New York Times:
- Diverging Debate at Fed on When to End Stimulus. The Federal Reserve Chairman, Ben S. Bernanke, said on Wednesday that
the Fed was likely to extend the centerpiece of its campaign to bolster
the economy — keeping short-term interest rates close to zero — even as
it prepares to wind down another key stimulus program that faces
mounting internal opposition.
Real Clear Markets:
Reuters:
- Ackman may struggle to raise $1 billion in less than 10 days. Hedge fund
manager William Ackman's strong returns have made him into one of Wall
Street's biggest managers, but even he may struggle to raise $1 billion
in the next week for a single stock fund whose target he won't identify, say investors.
One of his clients, the Public Employees Retirement Association of New
Mexico, which first invested with Ackman's Pershing Square Capital
Management in 2010, has already said it will take a pass on the new
special investment vehicle, unwilling to hand over so much cash for such
a long
time.
Financial Times:
- US banks to shuffle assets over leverage rules. US
banks believe they will be able to meet a new regulatory requirement on
debt levels by shuffling assets between their subsidiaries and using
other “optimisation” strategies to reduce the amount of leverage they
report. “We’re going to be able to pull a lot of levers,” said an
executive at a large US bank on Wednesday, a day after bank regulators
proposed a new “leverage ratio” to limit the industry’s reliance on
debt.
- Senator raises US food security fears in Smithfield(SFD) deal. The
largest-ever Chinese takeover of a US company came under scrutiny in
Washington after a group of bipartisan lawmakers said Shuanghui’s
proposed $4.7bn purchase of Smithfield, the pork producer, raised
unsettling questions about American food security and economic fairness.
“Smithfield might be the first acquisition of a major food and
agricultural company, but I doubt it will be the last,” Debbie Stabenow,
the
Democratic senator from Michigan who heads the powerful agriculture
committee, said before the hearing.
Telegraph:
- The wheels are coming off the whole of southern Europe. Europe’s debt-crisis strategy is near collapse. The long-awaited recovery has
failed to take wing. Debt ratios across southern Europe are rising at an
accelerating pace. Political consent for extreme austerity is breaking down
in almost every EMU crisis state. And now the US Federal Reserve has
inflicted a full-blown credit shock for good measure.
WantChinaTimes:
- Shopping malls glut in China might create real estate bubble. "Compared with the residential market, the commercial real-estate
market is more likely to face bubbles," a vice chairman of a Hong
Kong-listed real-estate firm told the China Business News. According to real-estate services company DTZ, the total floor area
for new shopping malls slated to open in Shanghai during the second half
of this year will reach 2.49 million square meters. In comparison, the
total floor area of retail property transactions from the year 2000 to
June 2013 was pegged at 10.9 million square meters. As of 2011, there were 2,812 shopping malls in China. By 2015, the
number will grow to 4,000, according to the China Chain Store and
Franchise Association.
Evening Recommendations
Susquehanna:
- Rated (TRIP) Negative, target $50
- Rated (PCLN) Positive, target $1,080.
- Rated (GOOG) Positive, target $1,090.
- Rated (LNKD) Positive, target $232.
- Rated (P) Positive, target $25.
- Rated (AMZN) Positive, target $370.
Night Trading
- Asian equity indices are +.5% to +2.0% on average.
- Asia Ex-Japan Investment Grade CDS Index 156.50 +4.0 basis points.
- Asia Pacific Sovereign CDS Index 118.75 +4.75 basis points.
- NASDAQ 100 futures +.95%.
Morning Preview Links
Earnings of Note
Company/Estimate
Economic Releases
8:30 am EST
- The Import Price Index for June is estimated unch. versus a -.6% decline in May.
- Initial Jobless Claims are estimated to fall to 340K versus 343K the prior week.
- Continuing Claims are estimated to rise to 2955K versus 2933K prior.
2:00 pm EST
- The Monthly Budget Statement for June is estimated at $115.0B versus -$59.7B in May.
Upcoming Splits
Other Potential Market Movers
- The Fed's Tarullo speaking, BoJ decision/Kuroda press conference, USDA Crop report, weekly EIA natural gas inventory report, Bloomberg US Economic Survey for July and the weekly Bloomberg Consumer Comfort Index could also impact trading today.
BOTTOM LINE: Asian indices are mostly higher, boosted by commodity and real estate shares in the region. I expect US stocks to open higher and to maintain gains into the afternoon. The Portfolio is 50% net long heading into the day.
Broad Equity Market Tone:
- Advance/Decline Line: Slightly Higher
- Sector Performance: Mixed
- Market Leading Stocks: Underperforming
Equity Investor Angst:
- Volatility(VIX) 14.39 +.28%
- Euro/Yen Carry Return Index 134.66 -.11%
- Emerging Markets Currency Volatility(VXY) 10.57 +.09%
- S&P 500 Implied Correlation 51.73 +1.85%
- ISE Sentiment Index 67.0 -32.32%
Credit Investor Angst:
- North American Investment Grade CDS Index 82.15 +.52%
- European Financial Sector CDS Index 157.97 +2.69%
- Western Europe Sovereign Debt CDS Index 96.0 +1.05%
- Emerging Market CDS Index 337.67 +4.07%
- 2-Year Swap Spread 17.0 unch.
- 3-Month EUR/USD Cross-Currency Basis Swap -9.75 unch.
Economic Gauges:
- 3-Month T-Bill Yield .03% -1 bp
- China Import Iron Ore Spot $123.90/Metric Tonne +.16%
- Citi US Economic Surprise Index -10.20 +1.8 points
- Citi Emerging Markets Economic Surprise Index -33.70 -3.5 points
- 10-Year TIPS Spread 2.05 unch.
Overseas Futures:
- Nikkei Futures: Indicating -25 open in Japan
- DAX Futures: Indicating -10 open in Germany
Portfolio:
- Slightly Higher: On gains in my tech and biotech sector longs
- Disclosed Trades: Added to my (IWM)/(QQQ) hedge
- Market Exposure: Moved to 25% Net Long
