Thursday, June 06, 2019

Stocks Higher into Final Hour on Diminished Mexico Tariff Worries, Oil Gain, Technical Buying, Energy/Tech Sector Strength

 Broad Equity Market Tone:
  • Advance/Decline Line: Lower
  • Sector Performance: Mixed
  • Volume: Around Average
  • Market Leading Stocks: Underperforming
Equity Investor Angst:
  • Volatility(VIX) 16.0 -.81%
  • Euro/Yen Carry Return Index 126.95 +.43%
  • Emerging Markets Currency Volatility(VXY) 8.69 +.12%
  • S&P 500 Implied Correlation 39.1 -1.21%
  • ISE Sentiment Index 52.0 -30.7%
  • Total Put/Call .89 -11.9%
  • NYSE Arms .80 -41.2%
Credit Investor Angst:
  • North American Investment Grade CDS Index 63.61 -1.46%
  • America Energy Sector High-Yield CDS Index 625.0 +1.86%
  • European Financial Sector CDS Index 83.78 +2.05%
  • Italian/German 10Y Yld Spread 272.75 +3.25 basis points
  • Asia Ex-Japan Investment Grade CDS Index 76.08 -2.71%
  • Emerging Market CDS Index 200.87 -.74%
  • iBoxx Offshore RMB China Corporate High Yield Index 163.42 +.1%
  • 2-Year Swap Spread 5.25 +.5 basis point
  • TED Spread 14.75 -.5 basis point
  • 3-Month EUR/USD Cross-Currency Basis Swap -11.0 -.5 basis point
Economic Gauges:
  • Bloomberg Emerging Markets Currency Index 66.48 +.03%
  • 3-Month T-Bill Yield 2.31% -3.0 basis points
  • Yield Curve 24.5 -3.5 basis points
  • China Iron Ore Spot 94.99 USD/Metric Tonne -.44%
  • Citi US Economic Surprise Index -47.30 -.5 point
  • Citi Eurozone Economic Surprise Index -18.60 +1.2 points
  • Citi Emerging Markets Economic Surprise Index -31.20 -.3 point
  • 10-Year TIPS Spread 1.75 -2.0 basis point
  • 67.3% chance of Fed rate cut at July 31st meeting, 92.7% chance of cut at Sept. 18th meeting
Overseas Futures:
  • Nikkei 225 Futures: Indicating +56 open in Japan 
  • China A50 Futures: Indicating -25 open in China
  • DAX Futures: Indicating +16 open in Germany
Portfolio:
  • Slightly Higher: On gains in my tech/medical sector longs
  • Disclosed Trades: Covered some of my (IWM)/(QQQ) hedges
  • Market Exposure: Moved to 75% Net Long

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