Thursday, November 16, 2017

Stocks Surging into Final Hour on Tax Reform Hopes, Earnings Outlooks, Economic Optimism, Retail/Tech Sector Strength

Broad Equity Market Tone:
  • Advance/Decline Line: Substantially Higher
  • Sector Performance: Almost Every Sector Rising
  • Volume: Around Average
  • Market Leading Stocks: Performing In Line
Equity Investor Angst:
  • Volatility(VIX) 11.72 -10.74%
  • Euro/Yen Carry Return Index 138.56 -.14%
  • Emerging Markets Currency Volatility(VXY) 8.10 unch.
  • S&P 500 Implied Correlation 17.52 -24.19%
  • ISE Sentiment Index 97.0 -33.56%
  • Total Put/Call .90 -11.76%
  • NYSE Arms 1.24 +40.9%
Credit Investor Angst:
  • North American Investment Grade CDS Index 55.50 -2.94%
  • America Energy Sector High-Yield CDS Index 388.0 -1.86%
  • European Financial Sector CDS Index 52.27 -1.95%
  • Western Europe Sovereign Debt CDS Index 3.98 +.76%
  • Asia Pacific Sovereign Debt CDS Index 16.09 +.75%
  • Emerging Market CDS Index 186.32 -3.74%
  • iBoxx Offshore RMB China Corporate High Yield Index 145.36 +.02%
  • 2-Year Swap Spread 18.0 +.25 basis point
  • TED Spread 16.25 +.75 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -49.0 -1.25 basis points
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 72.67 +.48%
  • 3-Month T-Bill Yield 1.26% +1.0 basis point
  • Yield Curve 65.25 -.5 basis point
  • China Import Iron Ore Spot $61.57/Metric Tonne -.44%
  • Citi US Economic Surprise Index 44.20 +8.7 points
  • Citi Eurozone Economic Surprise Index 59.60 -.7 basis point
  • Citi Emerging Markets Economic Surprise Index 12.90 +.1 point
  • 10-Year TIPS Spread 1.89 +1.0 basis point
  • 100.0% chance of Fed rate hike at Jan. 31 meeting, 100.0% chance at March 21 meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +265 open in Japan 
  • China A50 Futures: Indicating +58 open in China
  • DAX Futures: Indicating +45 open in Germany
Portfolio: 
  • Higher: On gains in my medical/tech/biotech/retail sector longs
  • Disclosed Trades: None
  • Market Exposure: 100% Net Long

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