Monday, September 18, 2017

Stocks Slightly Higher into Final Hour on Economic Optimism, Yen Weakness, Technical Buying, Financial/Defense Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Higher
  • Sector Performance: Mixed
  • Volume: Below Average
  • Market Leading Stocks: Outperforming
Equity Investor Angst:
  • Volatility(VIX) 10.33 +1.57%
  • Euro/Yen Carry Return Index 138.80 +.51%
  • Emerging Markets Currency Volatility(VXY) 7.63 -.65%
  • S&P 500 Implied Correlation 24.50 +3.95%
  • ISE Sentiment Index 86.0 +19.4%
  • Total Put/Call .91 -15.0%
  • NYSE Arms 1.1 -8.21%
Credit Investor Angst:
  • North American Investment Grade CDS Index 56.20 -.06%
  • America Energy Sector High-Yield CDS Index 423.0 +1.37%
  • European Financial Sector CDS Index 47.55 -1.96%
  • Western Europe Sovereign Debt CDS Index 4.69 -5.26%
  • Asia Pacific Sovereign Debt CDS Index 18.22 -.44%
  • Emerging Market CDS Index 170.84 +.99%
  • iBoxx Offshore RMB China Corporate High Yield Index 141.75 +.02%
  • 2-Year Swap Spread 26.0 +.75 basis point
  • TED Spread 29.50 +.5 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -24.5 -1.75 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 74.5 -.34%
  • 3-Month T-Bill Yield 1.02% -1.0 basis point
  • Yield Curve 84.0 +2.0 basis points
  • China Import Iron Ore Spot $71.76/Metric Tonne -.51%
  • Citi US Economic Surprise Index -22.60 -3.6 points
  • Citi Eurozone Economic Surprise Index 18.20 -.2 point
  • Citi Emerging Markets Economic Surprise Index 14.40 -1.4 basis points
  • 10-Year TIPS Spread 1.88 +2.0 basis points
  • 15.6% chance of Fed rate hike at Nov. 1 meeting, 56.0% chance at Dec. 13 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +86 open in Japan 
  • China A50 Futures: Indicating +62 open in China
  • DAX Futures: Indicating -17 open in Germany
Portfolio: 
  • Slightly Higher: On gains in my medical/tech sector longs
  • Disclosed Trades: None of note
  • Market Exposure: 100% Net Long

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