Stocks Surging into Final Hour on Central Bank Hopes, Short-Covering, Performance Angst, Transport/Financial Sector Strength

Today's Market Take:

Broad Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Below Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• VIX 12.81 +2.07%

• ISE Sentiment Index 99.0 +20.73%

• Total Put/Call .82 -4.65%

• NYSE Arms .67 -24.22%

Credit Investor Angst:

• North American Investment Grade CDS Index 72.35 -1.72%

• European Financial Sector CDS Index 140.44 +.29%

• Western Europe Sovereign Debt CDS Index 88.0 -.31%

• Emerging Market CDS Index 235.56 -.25%

• 2-Year Swap Spread 14.25 unch.

• TED Spread 23.75 -.25 bp

• 3-Month EUR/USD Cross-Currency Basis Swap -15.25 -.5 bp

Economic Gauges:

• 3-Month T-Bill Yield .04% unch.

• Yield Curve 173.0 +5 bps

• China Import Iron Ore Spot $128.10/Metric Tonne -1.0%

• Citi US Economic Surprise Index -7.70 +.3 point

• 10-Year TIPS Spread 2.32 unch.

Overseas Futures:

• Nikkei Futures: Indicating +330 open in Japan

• DAX Futures: Indicating +11 open in Germany

Portfolio: 

• Higher: On gains in my medical/biotech/tech/retail sector longs and emerging markets shorts

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 75% Net Long