Stocks Rising into Final Hour on Lower Long-Term Rates, Seasonality, Investor Performance Angst, Biotech/Tech Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Almost Every Sector Rising
  

• Volume: Above Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 13.55 -4.24%

• Euro/Yen Carry Return Index 148.34 -.12%

• Emerging Markets Currency Volatility(VXY) 9.13 +.77%

• S&P 500 Implied Correlation 51.79 -1.31%

• ISE Sentiment Index 205.0 +48.55%

• Total Put/Call .68 -8.11%

• NYSE Arms 1.16 +28.16% 

Credit Investor Angst:

• North American Investment Grade CDS Index 64.47 -2.29%

• European Financial Sector CDS Index 87.32 -.99%

• Western Europe Sovereign Debt CDS Index 60.33 -1.65%

• Emerging Market CDS Index 267.50 -.49%

• 2-Year Swap Spread 8.0 -.25 basis point

• TED Spread 19.75 +1.25 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -2.25 +1.5 basis points

Economic Gauges:

• 3-Month T-Bill Yield .05% -1 basis point

• Yield Curve 251.0 -6.0 basis points

• China Import Iron Ore Spot $132.70/Metric Tonne unch.
  

• Citi US Economic Surprise Index 47.0 +7.9 points

• Citi Emerging Markets Economic Surprise Index -12.0 +1.4 points

• 10-Year TIPS Spread 2.16 +1 basis point

Overseas Futures:

• Nikkei Futures: Indicating +115 open in Japan

• DAX Futures: Indicating +16 open in Germany

Portfolio: 

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

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges, then added them back

• Market Exposure: 50% Net Long