Stocks Rising into Final Hour on Fed Chair Powell's Reappointment, US Economic Optimism, Short-Covering, Commodity/Financial Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Mixed
  

• Volume: Above Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 18.0 +.6%
• Bloomberg Global Risk On/Risk Off Index 3,051.0 +80.0 points

• Euro/Yen Carry Return Index 133.22 +.3%

• Emerging Markets Currency Volatility(VXY) 9.99 +.5%

• S&P 500 Implied Correlation 49.1 unch.

• ISE Sentiment Index 115.0  -10.0 points
  

• Total Put/Call .74 -6.3%

• NYSE Arms .73 -47.5%

Credit Investor Angst:

• North American Investment Grade CDS Index 51.85 +.34%
  

• US Energy High-Yield OAS 394.28 -1.11%

• European Financial Sector CDS Index 58.45 +.41%

• Italian/German 10Y Yld Spread 126.0 +5.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 83.86 -1.4%
  

• Emerging Market CDS Index 192.70 +2.7%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 33.48 +.31%

• 2-Year Swap Spread 26.75 +.5 basis point
  

• TED Spread 12.25 +.5 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -30.75 -5.0 basis points
  
• MBS  5/10 Treasury Spread  64.5 +.75 basis point
  
• IHS Markit CMBX BBB- 6 73.0 +.25 basis point
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 55.56 -.61%
• 3-Month T-Bill Yield .04% -1.0 basis point
  

• Yield Curve 104.0 -5.0 basis point
  

• China Iron Ore Spot 96.80 USD/Metric Tonne +3.7%

• Citi US Economic Surprise Index 34.9 +2.9 points

• Citi Eurozone Economic Surprise Index -43.6 +3.2 points
  

• Citi Emerging Markets Economic Surprise Index -17.4 +1.7 points

• 10-Year TIPS Spread 2.62 -6.0 basis points
• 97.5% chance of no change at Jan. 26th meeting, 78.6% chance of no change at March 16th meeting

US Covid-19:

• 201 new infections/100K people(last 7 days total) -6/100K people
• 38% of Jan. 7th, 2021 peak(highest daily avg. new infections) -1.0 percentage point
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +56 open in Japan 
• China A50 Futures: Indicating -19 open in China

• DAX Futures: Indicating +18 open in Germany

Portfolio:

• Higher: On gains in my medical/tech/industrial/consumer discretionary/transport sector longs and emerging market shorts
  

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

• Market Exposure:  Moved to 100% Net Long