Stocks Falling into Final Hour on Rising Global Growth Fears, Rising Long-Term Rates, Earnings Concerns, Homebuilding/Commodity Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Most Sectors Declining
  

• Volume: Slightly Below Average

• Market Leading Stocks: Underperforming

Equity Investor Angst:

• Volatility(VIX) 13.45 +5.45%

• Euro/Yen Carry Return Index 137.94 +.58%

• Emerging Markets Currency Volatility(VXY) 8.95 +2.05%

• S&P 500 Implied Correlation 53.30 +4.51%

• ISE Sentiment Index 88.0 +10.0%

• Total Put/Call .97 +1.04%

• NYSE Arms .85 -12.88% 

Credit Investor Angst:

• North American Investment Grade CDS Index 76.66 +2.20%

• European Financial Sector CDS Index 143.22 -2.40%

• Western Europe Sovereign Debt CDS Index 91.0 -.54%

• Emerging Market CDS Index 293.17 +5.2%

• 2-Year Swap Spread 15.75 -1.75 bps

• TED Spread 24.50 -.5 bp

• 3-Month EUR/USD Cross-Currency Basis Swap -9.25 +.5 bp

Economic Gauges:

• 3-Month T-Bill Yield .02% unch.

• Yield Curve 223.0 +4 bps

• China Import Iron Ore Spot $132.10/Metric Tonne +.15%

• Citi US Economic Surprise Index -7.50 +1.4 points

• Citi Emerging Markets Economic Surprise Index -30.80 -.9 point

• 10-Year TIPS Spread 2.15 -3 bps

Overseas Futures:

• Nikkei Futures: Indicating -16 open in Japan

• DAX Futures: Indicating -23 open in Germany

Portfolio: 

• Slightly Higher: On gains in my biotech sector longs, index hedges and emerging markets shorts 

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges and to my (EEM) short, then covered some of them

• Market Exposure: 50% Net Long