Stocks Slightly Lower into Afternoon on US Policy-Induced Stagflation Fears, Fed "Behind the Curve" Worries, Diminished Russia/Ukraine Ceasefire Hopes, Tech/Alt Energy Sector Weakness

Broad Equity Market Tone:

• Advance/Decline Line:  Lower
  

• Sector Performance:  Mixed
  

• Volume:  Around Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 21.0 -2.5%
• Bloomberg Global Risk On/Risk Off Index 4,469.0 +81.0 points

• Euro/Yen Carry Return Index 139.21 +.28%

• Emerging Markets Currency Volatility(VXY) 11.1 -.27%

• CBOE S&P 500 Implied Correlation Index 35.5 -2.4% 

• ISE Sentiment Index 108.0 +7.0 points
  

• Total Put/Call .92 +2.22%

• NYSE Arms .62 -47.5%

Credit Investor Angst:

• North American Investment Grade CDS Index 69.66 +4.1%
  

• US Energy High-Yield OAS 349.23 -.68%

• European Financial Sector CDS Index 88.0 +.76%

• Italian/German 10Y Yld Spread 169.0 +4.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 102.85 +.67%
  

• Emerging Market CDS Index 240.89 +2.9%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 29.56 -.02%
• Russia Sovereign Debt Credit Default Swap 11,480.8 -1.39%
  

• 2-Year Swap Spread 25.0 +2.0 basis points
  

• TED Spread 31.5 -.25 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -23.0 -.75 basis point
  
• MBS  5/10 Treasury Spread  114.0 +3.0 basis points
  
• iShares CMBS ETF 49.09 -.32%
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 53.34 -.13%
• 3-Month T-Bill Yield .69% +2.0 basis points
  

• Yield Curve 20.5 +.75 basis point
  

• China Iron Ore Spot 151.40 USD/Metric Tonne -3.5%

• Citi US Economic Surprise Index 56.9 unch.

• Citi Eurozone Economic Surprise Index 31.0 -.5 point
  

• Citi Emerging Markets Economic Surprise Index 27.6 -.4 point

• 10-Year TIPS Spread 2.89 +4.0 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:

• 64 new infections/100K people(last 7 days total). 4.0%(unch.) of 1/14 peak +0/100K people from prior report.
  
• New Covid-19 patient hospital admissions per 100K population -93.5%(-.3 percentage point) from peak 7-day avg. of 1/9/21 - 1/15/22
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +104 open in Japan 
• China A50 Futures: Indicating -38 open in China

• DAX Futures: Indicating -15 open in Germany

Portfolio:

• Higher: On gains in my commodity/medical/consumer discretionary sector longs and index hedges
  

• Disclosed Trades:  Covered some of my (IWM)/(QQQ) hedges, then added them back
  

• Market Exposure:  50% Net Long