Stocks Higher into Afternoon on Earnings Optimism, Yen Weakness, US Housing Data, Tech/Consumer Discretionary Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance:  Most Sectors Gaining
  

• Volume:  Below Average

• Market Leading Stocks: Outperforming
  

Equity Investor Angst:

• Volatility(VIX) 20.9 -5.8%
• Bloomberg Global Risk On/Risk Off Index 4,880.0 +234.0 points

• Euro/Yen Carry Return Index 142.93 +1.5%

• Emerging Markets Currency Volatility(VXY) 10.9 +.4%

• CBOE S&P 500 Implied Correlation Index 39.8 -4.5% 

• ISE Sentiment Index 115.0 +16.0 points
  

• Total Put/Call 96.0 -5.0%

• NYSE Arms .89 +15.6%

Credit Investor Angst:

• North American Investment Grade CDS Index 74.11 +.77%
  

• US Energy High-Yield OAS 354.41 -1.5%

• European Financial Sector CDS Index 89.68 +2.3%

• Italian/German 10Y Yld Spread 164.0 unch.
  

• Asia Ex-Japan Investment Grade CDS Index 112.16 +2.8%
  

• Emerging Market CDS Index 258.72 -.4%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 29.5 unch.
• Russia Sovereign Debt Credit Default Swap 10,198.1 -4.0%
  

• 2-Year Swap Spread 25.0 -1.75 basis points
  

• TED Spread 22.5 -9.0 basis points
  

• 3-Month EUR/USD Cross-Currency Basis Swap -21.5 +1.25 basis points
  
• MBS  5/10 Treasury Spread  114.0 -3.0 basis points
  
• iShares CMBS ETF 48.87 -.28%
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 53.28 -.24%
• 3-Month T-Bill Yield .82% +5.0 basis points
  

• Yield Curve 33.75 -6.25 basis points
  

• China Iron Ore Spot 151.5 USD/Metric Tonne +.5%

• Citi US Economic Surprise Index 69.90 +3.6 points

• Citi Eurozone Economic Surprise Index 24.0 -1.0 point
  

• Citi Emerging Markets Economic Surprise Index 44.7 -.4 point

• 10-Year TIPS Spread 2.96 +2.0 basis points
  
• 0.0%(unch.) chance of no change at June 15th FOMC meeting, 0.0%(unch.) chance of no change at July 27th meeting

US Covid-19:

• 81 new infections/100K people(last 7 days total). 5.0%(+1.0 percentage point) of 1/14 peak +7/100K people from prior report.
  
• New Covid-19 patient hospital admissions per 100K population -93.4%(unch.) from peak 7-day avg. of 1/9/21 - 1/15/22
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +180 open in Japan 
• China A50 Futures: Indicating -56 open in China

• DAX Futures: Indicating +51 open in Germany

Portfolio:

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

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

• Market Exposure:  Moved to 75% Net Long