Stocks Rising into Final Hour on Less Emerging Markets/European Debt Angst, Central Bank Hopes, Short-Covering, Biotech/Gaming Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Slightly Below Average

• Market Leading Stocks: Outperforming

Equity Investor Angst:

• Volatility(VIX) 13.64 -2.36%

• Euro/Yen Carry Return Index 147.80 -.22%

• Emerging Markets Currency Volatility(VXY) 8.21 -1.20%

• S&P 500 Implied Correlation 54.76 -1.93%

• ISE Sentiment Index 144.0 +69.41%

• Total Put/Call .91 +1.11% 

• NYSE Arms .93 -30.49% 

Credit Investor Angst:

• North American Investment Grade CDS Index 65.44 -.81%

• European Financial Sector CDS Index 80.76 -1.95%

• Western Europe Sovereign Debt CDS Index 35.30 +.31%
• Asia Pacific Sovereign Debt CDS Index 88.98 +.11%

• Emerging Market CDS Index 279.28 -2.50%

• China Blended Corporate Spread Index 358.31 +.96%
• 2-Year Swap Spread 11.0 -.5 basis point

• TED Spread 21.50 -.5 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -5.25 -3.25 basis points

Economic Gauges:

• 3-Month T-Bill Yield .01% unch.

• Yield Curve 225.0 -1.0 basis point

• China Import Iron Ore Spot $108.30/Metric Tonne -.28%

• Citi US Economic Surprise Index -21.0 +.4 point

• Citi Emerging Markets Economic Surprise Index -26.30 -.2 point

• 10-Year TIPS Spread 2.17 -2.0 basis points

Overseas Futures:

• Nikkei Futures: Indicating +202 open in Japan

• DAX Futures: Indicating +21 open in Germany

Portfolio: 

• Slightly Higher: On gains in my tech/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