Stocks Reversing Slightly Higher into Final Hour on Less Emerging Markets Debt Angst, Oil Gain, Yen Weakness, Tech/Road & Rail Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Higher
  

• Sector Performance: Mixed
  

• Volume: Above Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 10.25 -1.82%

• Euro/Yen Carry Return Index 138.05 +.76%

• Emerging Markets Currency Volatility(VXY) 7.70 -.26%

• S&P 500 Implied Correlation 25.7 +14.3%

• ISE Sentiment Index 76.0 -34.5%
  

• Total Put/Call 1.08 +35.0%

• NYSE Arms 1.19 +24.9%

Credit Investor Angst:

• North American Investment Grade CDS Index 56.35 -.43%
  

• America Energy Sector High-Yield CDS Index 419.0 +.22%

• European Financial Sector CDS Index 48.41 -1.59%

• Western Europe Sovereign Debt CDS Index 4.95 +.3%

• Asia Pacific Sovereign Debt CDS Index 18.31 -.62%

• Emerging Market CDS Index 168.81 -2.22%
  

• iBoxx Offshore RMB China Corporate High Yield Index 141.73 -.10%

• 2-Year Swap Spread 25.25 +.5 basis point

• TED Spread 29.0 +1.25 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -22.75 +.25 basis point

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 74.77 unch.

• 3-Month T-Bill Yield 1.03% -2.0 basis points
  

• Yield Curve 82.0 -1.0 basis point

• China Import Iron Ore Spot $72.13/Metric Tonne -2.51%

• Citi US Economic Surprise Index -19.0 -13.4 points

• Citi Eurozone Economic Surprise Index 18.40 -.2 point

• Citi Emerging Markets Economic Surprise Index 15.90 +1.8 basis points

• 10-Year TIPS Spread 1.86 +1.0 basis point
  

• 15.6% chance of Fed rate hike at Nov. 1 meeting, 52.6% chance at Dec. 13 meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -35 open in Japan 

• China A50 Futures: Indicating +32 open in China

• DAX Futures: Indicating -5 open in Germany

Portfolio: 

• Higher: On gains in my retail/tech sector longs

• Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges

• Market Exposure: Moved to 100% Net Long