Stocks Reversing Lower into Final Hour on China Bubble-Bursting Fears, Oil Decline, Global Growth Worries, Financial/Tech Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Slightly Higher
  

• Sector Performance: Mixed
  

• Volume: Slightly Above Average

• Market Leading Stocks: Performing In Line

Equity Investor Angst:

• Volatility(VIX) 19.67 -7.87%

• Euro/Yen Carry Return Index 142.94 +.53%

• Emerging Markets Currency Volatility(VXY) 12.05 +1.01%

• S&P 500 Implied Correlation 61.07 -.87%

• ISE Sentiment Index 83.0 -7.87%

• Total Put/Call .92 -23.97%

• NYSE Arms 1.51 +325.94% 

Credit Investor Angst:

• North American Investment Grade CDS Index 75.91 -1.84%

• America Energy Sector High-Yield CDS Index 1,928.0 +.63%

• European Financial Sector CDS Index 76.74 -3.25%

• Western Europe Sovereign Debt CDS Index 21.11 +.38%

• Asia Pacific Sovereign Debt CDS Index 80.11 -.22%

• Emerging Market CDS Index 325.48 -3.0%
  

• iBoxx Offshore RMB China Corporates High Yield Index 118.91 +.19%

• 2-Year Swap Spread 13.75 +2.75 basis points

• TED Spread 27.75 -.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -19.0 +7.5 basis points

Economic Gauges:

• 3-Month T-Bill Yield .01% -4.0 basis points

• Yield Curve 152.0 +3.0 basis points

• China Import Iron Ore Spot $57.37/Metric Tonne +.28%

• Citi US Economic Surprise Index -27.3 -3.8 points

• Citi Eurozone Economic Surprise Index 15.3 -.6 point

• Citi Emerging Markets Economic Surprise Index -24.2 -1.2 points

• 10-Year TIPS Spread 1.59 +2.0 basis points
• # of Months to 1st Fed Rate Hike(Morgan Stanley) 3.23 -.29

Overseas Futures:

• Nikkei 225 Futures: Indicating -42 open in Japan 
• China A50 Futures: Indicating -135 open in China

• DAX Futures: Indicating -33 open in Germany

Portfolio: 

• Slightly Higher: On gains in my biotech/medical sector longs

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

• Market Exposure: 50% Net Long