Stocks Slightly Lower into Afternoon on Emerging Markets Debt Angst, Profit-Taking, Technical Selling, Gaming/Biotech Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line: Modestly Lower
  

• Sector Performance: Mixed
  

• Volume: Around Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 9.73 -7.95%

• Euro/Yen Carry Return Index 128.96 -.37%

• Emerging Markets Currency Volatility(VXY) 8.27 -2.59%

• S&P 500 Implied Correlation 40.77 -3.09%

• ISE Sentiment Index 61.0 -37.11%
  

• Total Put/Call .81 -18.18%

• NYSE Arms .80 +18.90%

Credit Investor Angst:

• North American Investment Grade CDS Index 62.30 +.1%
  

• America Energy Sector High-Yield CDS Index 386.0 -.65%

• European Financial Sector CDS Index 66.90 -2.90%

• Western Europe Sovereign Debt CDS Index 7.83 +5.46%

• Asia Pacific Sovereign Debt CDS Index 20.71 -1.36%

• Emerging Market CDS Index 198.08 +2.05%
  

• iBoxx Offshore RMB China Corporate High Yield Index 137.21 -.1%

• 2-Year Swap Spread 28.50-.5 basis point

• TED Spread 29.25 unch.

• 3-Month EUR/USD Cross-Currency Basis Swap -29.25 +1.0 basis point

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 71.94 -.45%
• 3-Month T-Bill Yield .89% +1.0 basis point
  

• Yield Curve 105.0 +1.0 basis point
  

• China Import Iron Ore Spot $60.15/Metric Tonne -2.56%

• Citi US Economic Surprise Index -19.70 -1.5 points

• Citi Eurozone Economic Surprise Index 69.10 +.9 point

• Citi Emerging Markets Economic Surprise Index 31.8 +2.1 points

• 10-Year TIPS Spread 1.86 -1.0 basis point
  
• 95.3% chance of Fed rate hike at July 26 meeting, 97.4% chance at Sept. 20 meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -20 open in Japan 
• China A50 Futures: Indicating -32 open in China

• DAX Futures: Indicating +15 open in Germany

Portfolio: 

• Slightly Higher: On gains in my tech sector longs and emerging market shorts

• Disclosed Trades: None

• Market Exposure: 100% Net Long