Stocks Reversing Lower into Afternoon on US Stimulus Uncertainty, China Tensions, Technical Selling, Healthcare/Retail Sector Weakness

 Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Most Sectors Declining
  

• Volume: Below Average

• Market Leading Stocks: Underperforming
  

Equity Investor Angst:

• Volatility(VIX) 28.6 -3.8%
• Bloomberg Global Risk On/Risk Off Index 92.0 +48.0 points

• Euro/Yen Carry Return Index 130.04 +.1%

• Emerging Markets Currency Volatility(VXY) 11.27 -.62%

• S&P 500 Implied Correlation 56.65 +5.99%

• ISE Sentiment Index 100.0 +20.0 points

• Total Put/Call .88 +8.64%

• NYSE Arms .94 -56.9%

Credit Investor Angst:

• North American Investment Grade CDS Index 69.63 +1.83%
  

• US Energy High-Yield OAS 804.67 -.25%

• European Financial Sector CDS Index 65.66 +2.91%

• Italian/German 10Y Yld Spread 142.5 -5.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index  59.28 +.94%
  

• Emerging Market CDS Index 171.70 -.46%
  

• iBoxx Offshore RMB China Corporate High Yield Index 177.88 +.01%

• 2-Year Swap Spread 8.25 unch.

• TED Spread 14.0 +.25 basis point

• 3-Month EUR/USD Cross-Currency Basis Swap -5.5 -.25 basis point
  
• MBS  5/10 Treasury Spread  90.25 +.25 basis point
  
• IHS Markit CMBX BBB- 6 66.75 -.25 basis point

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 60.50 +.02%
• 3-Month T-Bill Yield .11% unch.

• Yield Curve 53.75 -.25 basis point
  

• China Iron Ore Spot 123.51 USD/Metric Tonne +.15%

• Citi US Economic Surprise Index 188.0 +8.1 points

• Citi Eurozone Economic Surprise Index 90.40 -2.2 points

• Citi Emerging Markets Economic Surprise Index 43.0 +6.6 points

• 10-Year TIPS Spread 1.67 -3.0 basis points
• 100.0% chance of no change at Nov. 5th meeting, 100.0% chance of no change at Dec. 16th meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating -156 open in Japan 
• China A50 Futures: Indicating -124 open in China

• DAX Futures: Indicating -57 open in Germany

Portfolio:

• Higher: On gains in my industrial/biotech/consumer staples sector longs and index hedges
  

• Disclosed Trades: Added to my (IWM)/(QQQ) hedges
  

• Market Exposure: Moved to 25% Net Long