Evening Headlines
Bloomberg:
- Ukraine Violence Forces Rush of Diplomacy as Airport Fight Rages. The
escalation of fighting in Ukraine after a lull last month, which is
threatening to tip the country into full-blown war, is forcing diplomats
across Europe to seek ways to stem the violence. Foreign Ministers
from Ukraine, Russia and France have been invited by Germany to meet in
Berlin Wednesday to try to revive peace negotiations as some of the
fiercest clashes in months go on in the shattered remains of Donetsk
airport in eastern Ukraine between separatists and government troops. “The situation is very dangerous,” Anton Lavrov, an
independent defense analyst in Torzhok, Russia, said by phone.
“It’s not clear at all that they will be able to renew the
cease-fire. It could lead to full-scale clashes across the front
and big losses on both sides.”
- World’s Wildest Stocks Show Chinese Booms and Busts Getting Bigger on Debt. The
one thing China’s bulls and bears can agree on is that swings in the
world’s most-volatile major stock market are only going to get bigger
after equity traders took on record amounts of debt. Both Bank of
America Corp. strategist David Cui, who predicts Chinese shares will
fall, and JPMorgan Chase & Co.’s Adrian Mowat, who has an overweight
rating, say the surge in margin lending to
all-time highs is amplifying price fluctuations in the $4.9 trillion
market. Volatility in the benchmark Shanghai Composite Index reached the
highest level since 2009 this week after rising more than fourfold
since July.
- China Stock Euphoria Fading, 58% of Investors Say Rally Over: Bloomberg Poll. China’s
world-beating stock rally is over, according to the latest Bloomberg
Global Poll. Fifty-eight percent of the survey’s 481 respondents said
the Shanghai Composite Index (SHCOMP) will either decline or remain
little changed over the next six months after posting a 55 percent advance since June. Only 30 percent said the gauge will extend gains. The number of poll participants that picked
China as among the best opportunities for investing fell by almost half
from the fourth quarter to just 13 percent.
- Samaras Pledges No More Cuts for Greeks in Election Fight. The
following are the main pledges of Greek Prime Minister Antonis Samaras,
leader of governing New Democracy party, ahead of the national election
on Jan. 25. Samaras, 63, made the pledges in New Democracy’s election
prospectus and on the campaign trail. -- Victory for New Democracy “will keep Greece in the euro area,” Samaras says, while a Syriza win would set the country
on a collision course with its creditors, potentially forcing it
out of the currency bloc
- Abe Leaves Middle East Facing Islamic State Hostage Crisis. Japanese
Prime Minister Shinzo Abe shortened a Middle East trip to deal with a
hostage crisis after Islamic State militants threatened to kill two
Japanese hostages within 72 hours. Abe departed Israel an hour earlier than planned on Tuesday evening having earlier pledged
$200 million in non-military aid to nations confronted by the al-Qaeda
breakaway group, public broadcaster NHK reported. Islamic State demanded
a ransom equivalent to the promised financial support.
- Asian Stocks Retreat Before BOJ Decision as Consumer Shares Fall. Asian stocks fell, led by consumer-discretionary shares, ahead of a Bank of Japan statement on monetary policy. The MSCI Asia Pacific Index (MXAP) dropped 0.2 percent to 138.29 as of 9:03 a.m. in Tokyo. All 33 economists surveyed by Bloomberg forecast no change to BOJbond-buying after it
expanded the already unprecedented program in October. Japanese
shares slid in Tokyo.
- Druckenmiller Alums at PointState Make $1 Billion on Oil.
Hedge fund manager Zach Schreiber stood on
stage at Avery Fisher Hall in New York eight months ago and made a bold
prediction. “We believe crude oil is going lower -- much lower,”
Schreiber, 42, told the audience of roughly 3,000 investors,
including some of the biggest money managers in the industry.
“If you are long, I’m sorry for you.” Then he showed a slide
of a car stuffed with clowns.
- Junk Replaces Government Debt as Most-Disdained in Investor Poll. Junk bonds have supplanted sovereign debt as
the asset investors would most like to bet against amid concern
that a slowdown in global economic expansion will make it harder
for the world’s neediest borrowers to meet their obligations. With
both the International Monetary Fund and World Bank lowering their world
growth forecast this month, 18 percent of the respondents to a
quarterly Bloomberg Global Poll chose speculative-grade debt as the
favored asset class to short, or set up trades that would profit
from a decline in prices, given the chance. That exceeds the 13 percent
that would bet against government securities from the Group of Seven
nations.
Wall Street Journal:
- Uprising in Yemen Fans U.S. Concerns. Capture of Presidential Palace Raises Worries About Instability That Could Plague Fight Against Terrorism. A militia group demanding a greater say over Yemen’s new constitution
took over the presidential palace here Tuesday, sparking fresh concerns
about a country that has become a cornerstone of U.S. counterterrorism
strategy.
- The Gaslight Presidency. Obama’s policies have crushed middle-class incomes, and he proposes more of the same. In the 1944 film “Gaslight,” a con artist manipulates his new wife
psychologically to make her doubt her own sanity in a scheme to steal
her inheritance. That’s increasingly the way to understand President
Obama’s behavior toward Congress and especially the tax increase he
floated in Tuesday’s State of the Union. The only plausible rationale is
that he thinks he can gain politically by driving Republicans nuts.
Fox News:
CNBC:
Zero Hedge:
Business Insider:
Politico:
AFP:
- Ukrainian President Cuts Short Visit to Davos. President cuts short visit as situation deteriorates in rebel-held east.
Financial Times:
Telegraph:
- Central bank prophet fears QE warfare pushing world financial system out of control. Former BIS chief economist warns that QE in Europe is doomed to failure and
may draw the region into deeper difficulties. The economic
prophet who foresaw the Lehman crisis with uncanny accuracy is
even more worried about the world's financial system going into 2015.
Beggar-thy-neighbour devaluations are spreading to every region. All the
major
central banks are stoking asset bubbles deliberately to put off the
day of reckoning.
This time emerging markets have been drawn into the quagmire as well,
corrupted by the leakage from quantitative easing (QE) in the West. "We are in a world that is dangerously unanchored," said William White, the
Swiss-based chairman of the OECD's Review Committee. "We're seeing true
currency wars and everybody is doing it, and I have no idea where this is
going to end."
The Guardian:
Evening Recommendations
Night Trading
- Asian equity indices are -.25% to +1.0% on average.
- Asia Ex-Japan Investment Grade CDS Index 121.0 -1.0 basis point.
- Asia Pacific Sovereign CDS Index 74.75 -1.75 basis points.
- NASDAQ 100 futures +.10%.
Morning Preview Links
Earnings of Note
Company/Estimate
Economic Releases
8:30 am EST
- Housing Starts for December are estimated to rise to 1040K versus 128K in November.
- Building Permits for December are estimated to rise to 1060K versus 1035K in November.
9:45 am EST
- Chicago Purchasing Managers Revise Seasonally Adjusted Data.
Upcoming Splits
Other Potential Market Movers
- The
UK unemployment rate, CIBC Institutional Investor Conference, weekly
MBA mortgage applications report and the (MSFT) Windows 10 Event could
also impact trading today.
BOTTOM LINE: Asian indices are mostly higher, boosted by real estate and financial shares in the region. I expect US stocks to open modestly higher and to weaken into the afternoon, finishing mixed. The Portfolio is 50% net long heading into the day.
Broad Equity Market Tone:
- Advance/Decline Line: Lower
- Sector Performance: Most Sectors Declining
- Volume: Slightly Below Average
- Market Leading Stocks: Performing In Line
Equity Investor Angst:
- Volatility(VIX) 20.11 -4.01%
- Euro/Yen Carry Return Index 143.26 +.49%
- Emerging Markets Currency Volatility(VXY) 11.05 unch.
- S&P 500 Implied Correlation 65.34 -3.03%
- ISE Sentiment Index 70.0 -46.15%
- Total Put/Call .74 -18.68%
Credit Investor Angst:
- North American Investment Grade CDS Index 72.44 +1.04%
- America Energy Sector High-Yield CDS Index 747.0 +.10%
- European Financial Sector CDS Index 64.16 -.52%
- Western Europe Sovereign Debt CDS Index 24.96 -.97%
- Asia Pacific Sovereign Debt CDS Index 74.8 -2.43%
- Emerging Market CDS Index 389.20 +.54%
- China Blended Corporate Spread Index n/a
- 2-Year Swap Spread 24.5 +.5 basis point
- TED Spread 23.5 +.5 basis point
- 3-Month EUR/USD Cross-Currency Basis Swap -16.25 +2.0 basis points
Economic Gauges:
- 3-Month T-Bill Yield .01% -1.0 basis point
- Yield Curve 131.0 -3.0 basis points
- China Import Iron Ore Spot $68.16/Metric Tonne +.1%
- Citi US Economic Surprise Index 4.80 -2.4 points
- Citi Eurozone Economic Surprise Index -3.3 +.5 point
- Citi Emerging Markets Economic Surprise Index -13.80 +1.9 points
- 10-Year TIPS Spread 1.60 unch.
Overseas Futures:
- Nikkei Futures: Indicating +71 open in Japan
- DAX Futures: Indicating +11 open in Germany
Portfolio:
- Slightly Higher: On gains in my biotech/tech sector longs, index hedges and emerging markets shorts
- Disclosed Trades: Added to my (IWM)/(QQQ) hedges
- Market Exposure: Moved to 25% Net Long
Style Underperformer:
Sector Underperformers:
- 1) I-Banking -4.83% 2) Gaming -4.06% 3) Homebuilders -3.10%
Stocks Falling on Unusual Volume:
- EXPR, IGTE, OUTR, HMIN, KITE, BCPC, DECK, ADXS, ADPT, DEPO, CSL, SAP, STML, ASPS, SBSI, JNJ, OVAS, MS, OXM, RMD, XON, LFC, BMO, ELP, BAK, TWX, CYH, VNR, XON and EXPR
Stocks With Unusual Put Option Activity:
- 1) MGM 2) VWO 3) IYR 4) LVS 5) HON
Stocks With Most Negative News Mentions:
- 1) PHM 2) PNRA 3) SNDK 4) SPLS 5) JNJ
Charts:
Style Outperformer:
Sector Outperformers:
- 1) Gold & Silver +3.55% 2) Airlines +1.46% 3) Oil Tankers +.13%
Stocks Rising on Unusual Volume:
- SWHC, EHTH, ILMN, ABX, HFC, SBGL, NEM, MCRL, RGR, LQ and ASGN
Stocks With Unusual Call Option Activity:
- 1) ARUN 2) BWP 3) MPC 4) NUAN 5) GDX
Stocks With Most Positive News Mentions:
- 1) MU 2) BJRI 3) AAPL 4) DAL 5) PNC
Charts:
Weekend Headlines
Bloomberg:
- Ukraine Says Russians Cross Border as Airport Battle Rages. Two
battalions of Russian soldiers crossed the border into Ukraine, the
National Security Council in Kiev said, as government forces and
pro-Moscow rebels battled for control of the Donetsk airport. The
accusation follows months of complaints from the government in Kiev that
Russian President Vladimir Putin is sending funds, weapons and fighters
to support a separatist insurgency in Ukraine’s easternmost regions.
Putin denies any military
involvement in Ukraine, and Russian Defense Ministry spokesman Andrei
Bobrun declined to comment when contacted by Bloomberg on Monday in
Moscow. “Ukrainian and military intelligence confirms the entering
from Russia into Ukrainian territory of men and equipment,” Ukrainian
Prime Minister Arseniy Yatsenyuk said in Kiev on Monday. The rebels’
tanks,
howitzers, artillery and anti-aircraft systems “can’t be bought at a
bazaar in Donetsk or the Russian Federation. They can only come from the
stock of the Russian Defense Ministry,” he said.
- Russia Cut to Baa3 by Moody’s on Oil as Junk Rating Looms. Russia’s
credit rating was cut to the lowest investment grade by Moody’s
Investors Service as plunging oil prices and the worst currency crisis
since 1998 drag on growth. Moody’s lowered the country to Baa3, one step
above junk, from Baa2. The credit grade matches those of Standard
& Poor’s and Fitch Ratings. The rating, on par with India and
Turkey, is on review for a further reduction, Moody’s said in a
statement.
- IMF Cuts Global Economic-Growth Forecast by Most in Three Years. The IMF made the steepest cut to its global-growth outlook in three
years, with diminished expectations almost everywhere except the U.S.
more than offsetting the boost to expansion from lower oil prices. The
world economy will grow 3.5 percent in 2015, down from the 3.8 percent
pace projected in October, the International Monetary Fund said in its
quarterly global outlook released late Monday in Washington. The
Washington-based lender also cut its estimate for growth next year to
3.7 percent, compared with 4 percent in October.
- Belgium Deploys Troops Amid Threat From Syrian Jihadis. Belgium
is deploying more troops on its streets to counter a heightened terror
threat as the fallout from last week’s attacks in France led to arrests
across Europe and fueled protests in several African countries. Security
forces have arrested at least 28 people across the continent after
attacks in Paris last week by Islamist gunmen and a deadly police
raid on Thursday in the eastern Belgian town of Verviers. The threat is
an “urgent and very serious challenge,” Europol Director Rob Wainwright
told Sky News today.
- Here’s Why Losses Triggered by Franc-Cap Removal Were So Painful.
It’s easy to see why the Swiss National Bank’s surprise decision to
abandon the cap on the franc versus the euro wreaked havoc on currency
markets. You just have to look at data from the U.S.’s largest
derivatives exchange. Speculators using futures to wager the franc
would weaken versus the dollar had more than $3 billion worth of such
bets as of Jan. 13, according to Bloomberg calculations based on
Commodity Futures Trading Commission data. The SNB’s decision
two days later to drop the cap sparked a rush for the exit as
the franc surged 21 percent versus the greenback.
- China Brokers Fall as Regulator Curbs New Margin Accounts. Chinese brokerages’ shares plunged after the
securities regulator suspended three of the biggest firms from
adding margin-finance and securities lending accounts for three
months following rule violations. Citic Securities Co. (600030), the
nation’s biggest broker, fell 14 percent as of 9:35 a.m. in Hong Kong.
Haitong Securities Co. and
Guotai Junan Securities Co. were among others whose shares
tumbled.
- China’s $20 Trillion Headache Underscored by Stock Market Swings. For
China’s central bank, the 36 percent
stock market rally through Jan. 16 spurred in part by a surprise
November interest-rate cut is the latest reminder that it’s easier to
unleash money than to guide it to the right places. Since Zhou Xiaochuan
became People’s Bank of China governor in late 2002, the broad money
supply base has expanded almost seven times to 122.8 trillion yuan ($20
trillion) while the economy has grown about five times. That translates
to a M2/GDP
ratio of about 200 percent versus about 70 percent in the U.S.,
according to data compiled by Bloomberg.
- Banks Struggle to Fight Speculation Denmark’s Euro Peg at Risk. Banks in Scandinavia are joining the Danish
government in trying to persuade offshore investors that the
Nordic country isn’t about to copy Switzerland and drop its euro peg.
SEB AB, the Nordic region’s largest currency trader, said it’s been
fielding calls from hedge funds wondering whether Denmark might be next
after the Swiss National Bank shocked markets by exiting a
three-year-old euro cap on Jan. 15. Economy Minister Morten Oestergaard a
day later sought to silence doubts
surrounding Denmark’s currency peg, which he said remains
“secure.”
- China Dream Ends for Handan as Steel Slump Spurs Property Losses.
Hao is among the collateral damage as China reins in years of
debt-fueled investment-led growth that’s evoked comparisons to the
period preceding Japan’s lost decades. As policy shifts China toward
greater consumption and innovation-led growth, Handan’s reliance on the
steel industry for expansion has left it among cities feeling the brunt
of adjustment pain.
- Ibovespa Slumps as Economists Cut Growth Projections; CPFL Sinks.
The Ibovespa fell the most in two weeks as CPFL Energia SA led a plunge
in utilities and economists reduced their growth forecasts for Brazil.
The MSCI Brazil/Consumer Discretionary Index dropped the most in a week,
led by retailer Lojas Americanas SA. Utility companies sank after
website UOL reported that a blackout hit at least four Brazilian states,
without saying how it got the information. Vale SA slid with iron ore. The
Ibovespa dropped 2.6 percent to 47,758.01 at the close of trading in
Sao Paulo, as 64 of its 68 stocks retreated. The real weakened 1.4
percent to 2.6582 per dollar at 5:31 p.m. local time. Analysts lowered
their outlook for Brazil’s growth
in 2015 to 0.38 percent from 0.4 percent, according to the
median forecast in a central bank survey published Monday.
- European Stocks Rise Third Day Amid Expectations of ECB Stimulus.
European stocks advanced for a third day, extending their highest level
since 2008, amid investor expectations the European Central Bank will
announce a plan for quantitative easing this week. The Stoxx Europe 600 Index added 0.2 percent to 353.18 at the close of trading. The
equity gauge pared gains in the final hour after earlier increasing as
much as 0.7 percent.
- Treasuries Post Best Start to Year Ever as Global Appetite Rises. Treasuries extended the best start to a year
on record after the Swiss National Bank’s unexpected decision to
end its exchange-rate cap and cut interest rates fueled appetite
for higher-yielding U.S. bonds.
The 30-year bond yield reached a record low as oil prices tumbled to
the least in 5 1/2 years, sinking inflation expectations. The benchmark
10-year note yield touched the lowest since 2013, buoyed by demand
from investors seeking higher yields on speculation the European Central
Bank will unveil expanded bond-buying, or quantitative easing, on Jan.
22.
- Oil Drops Below $48 a Barrel as U.S. Resists Market Intervention. Oil traded below $48 a barrel as the U.S.
signaled it won’t intervene in the market even as prices decline. Futures fell as much as 3 percent in New York from the Jan.
16 settlement after floor trading was closed Monday for the
Martin Luther King Jr. holiday.
- HSBC Cuts GDP Outlook for 13 Oil Exporters From Russia to U.A.E.
The plunge in oil prices prompted HSBC Holdings Plc to cut this year’s
economic outlook for 13 crude exporters across central, eastern Europe
and the Middle East as public spending drops. Economic growth in the
grouping will slow to 1.8 percent, compared with an estimate of 2.6
percent in October, the London-based bank said in a report yesterday.
Russia’s gross domestic
product may shrink 3.5 percent, compared with an October
forecast of a one percent-contraction, the bank said.
- China Steelmaking Slows as Exports Surge While Demand Cools.
China’s crude steel production growth slowed
last year as domestic demand weakened and the country exported
record volumes. China, the world’s largest steelmaker, produced 822.7
million metric tons in 2014, a record, according to data released by the
National Bureau of Statistics on Tuesday in Beijing. Output grew by 0.9
percent last year, compared with a
7.5 percent increase the year before, according to the bureau’s
data. Production in December rose for the first time in four
months to 68.09 million tons. “You’ve got an industry in overcapacity with utilization
rates that are not providing the producers with any pricing
power,” Daniel Kang, an analyst at JPMorgan Chase & Co. in Hong
Kong, said before the data was released. “We’re expecting
growth to be fairly minimal.”
- Gold Assets in Biggest ETP Surge Most Since 2010 on Haven Buying. Holdings in the SPDR Gold Trust, the biggest
exchange-traded product backed by the metal, surged the most in
more than four years. Assets in the SPDR fund, which counts billionaire John Paulson as its biggest holder, jumped 1.9 percent to 730.89
metric tons on Jan. 16. That’s the biggest gain since May 25,
2010. This week the holdings climbed 3.3 percent.
- AT&T(T) to Record $10 Billion in Charges for Fourth Quarter. AT&T
Inc. (T) said its fourth-quarter results will include a pretax loss of
$7.9 billion to account for changes in its pension and retiree benefit
plans. The results will also include a $2.1 billion noncash charge
because certain copper assets are no longer needed as customer demand
declines for older voice and data products, the Dallas-based company
said in a regulatory filing Friday. AT&T said its units’ operating
results and margins won’t be affected.
Wall Street Journal:
Fox News:
MarketWatch.com:
- ‘American Sniper’ shatters January box-office record.
Clint Eastwood’s “American Sniper” has shattered the record for
highest-grossing January opening weekend -- earning more than twice the
gross of the previous record, held by last winter’s “Ride Along.”
CNBC:
- Janjuah on 2015: Oil at $30; bonds to go crazy. If you thought 2014 was volatile, hold on to your hats this year
as the price of oil could hit $30 a barrel and the bond markets will
outperform, according to Bob Janjuah, a closely-watched strategist from
Nomura Securities.
Zero Hedge:
- Quote Of The Day: "Venezuela Must Deepen Socialism To Improve Economy" - Maduro. Having apparently failed on his mission to Asia to garner enough support
to drag oil prices up to the $100 level he "believes is fair," Maduro
went on to explain how he will "change the food supply system, not the
economic model," to solve the nation's crisis, since "most of the private sector are parasitic bums."
Business Insider:
- The Middle-Class Decline Looms Over Obama's Legacy. Federal Reserve survey data show families in the middle fifth of the
income scale now earn less and their net worth is lower than when Obama
took office. Jobs have been added at the top and bottom of the wage scale, a Reuters
analysis of labor statistics shows. In the middle, the economy has shed
positions — whether in traditional trades like machining or electrical
work, white-collar jobs in human resources, or technical ones like
computer operators.
Forbes:
- China Cities Signal Property Crash By Halting Apartment Sales.
Without explanation, authorities in two Chinese cities have refused to
issue approvals for transfers of apartments built by selected
developers, including troubled Kaisa Group. Most analysts believe the
extraordinary moves are related to Xi Jinping’s so-called
anti-corruption campaign, but that explanation fails to explain certain
crucial facts. There is reason to think there could
be bankruptcy law factors behind the withholding of the approvals, which
have unsettled markets in recent weeks. The bankruptcy explanation
suggests a market correction is coming soon.
Reuters:
- Anti-bailout Syriza extends poll lead as Greece's election day nears. Greece's anti-bailout opposition party
Syriza appears to be gaining momentum with less than a week before
Sunday's snap election, moving further ahead of the co-ruling
conservatives in three separate opinion polls. Syriza would garner 33.5 percent of the
vote, up from 31.5 percent, while Prime Minister Antonis Samaras' New
Democracy party, which has pushed through unpopular reforms as part of
an international bailout, stood unchanged on 27 percent.
Financial Times:
- Energy bondholders at risk as bank loans ebb. With
the price of US crude now less than 50 per cent of its recent peak of
$107 a barrel, the likely consequence is that banks will significantly
reduce their lending to energy firms across the US, forcing companies to
look for alternative sources of financing on more punitive terms.
- S&P 500 earnings face dollar headwind.
A sharp increase in the US dollar against both the euro and Japanese
yen is expected to crimp profits for some of the country’s largest
companies, with some strategists on Wall Street warning the currency’s
gain and low energy prices could constrain
quarterly S&P 500 earnings growth to just 3 per cent.
Bild:
- ECB Bond Buying Program Will Stall Reforms, Feld Says. France and
Italy will continue to languish without reform, Lars Feld, economic
adviser to German Chancellor Angela Merkel, said. ECB plans to approve
purchase of govt bonds removes pressure on two countries to follow
through with reforms. Will have a negative impact on German exports
there.
China Finance:
- China Should be Cautious on Monetary Policy. Key of a prudent
monetary policy is to provide a neutral and appropriate monetary and
finance environment to structural adjustment, Zhang Xiaohui, head of the
People's Bank of China's monetary-policy department, writes in the
magazine's Jan. 16 issue. China should adjust monetary policy properly
at appropriate time, and avoid doing too much or too little. The
difficulty to manage liquidity is rising as affected by slower increase
in yuan positions, fluctuation in asset prices and a more complex
struture of banks' assets and liabilities.
Weekend Recommendations
Night Trading
- Asian indices are -.25% to +1.25% on average.
- Asia Ex-Japan Investment Grade CDS Index 122.0 -1.0 basis point.
- Asia Pacific Sovereign CDS Index 76.5 +1.5 basis points.
- NASDAQ 100 futures +.21%.
Morning Preview Links
Earnings of Note
Company/Estimate
Economic Releases
10:00 am EST
- The NAHB Housing Market Index for January is estimated to rise to 58.0 versus 57.0 in December.
Upcoming Splits
Other Potential Market Movers
- The
China Retail Sales/GDP/Industrial Production data, German ZEW Sentiment
Index and the Jefferies Winter Consumer Summit could
also impact trading today.
BOTTOM LINE: Asian indices are mostly higher, boosted by industrial and technology shares in the region. I expect US stocks to open modestly higher and to weaken into the afternoon, finishing mixed. The Portfolio is 50% net long heading into the week.
Week Ahead by Bloomberg.
Wall St. Week Ahead by Reuters.
Stocks to Watch Tuesday by MarketWatch.
Weekly Economic Calendar by Briefing.com.
BOTTOM LINE: I expect US stocks to finish the week mixed as global
growth fears, rising European/Emerging Markets/US High-Yield debt angst
and earnings concerns offset central bank hopes, short-covering and
bargain-hunting. My intermediate-term trading indicators are giving
neutral signals and the Portfolio is 50% net long heading into the week.
