Bull Radar

Style Outperformer:

• Large-Cap Growth +.7%

Sector Outperformers:

• 1) Alt Energy +2.5% 2) Steel +2.3% 3) Homebuilding +1.5%

Stocks Rising on Unusual Volume:

• AUR, BKKT, LCID, ROVR, PLUG, DNA, INTU, SI, BMRN, PLBY, FXLV, MARA, RBLX, MU, CLSK, RIOT, FSR, VCYT, GGPI, RCUS, ENPH, CVM, W, ALHC, MTZ, ARVN, MRNA, DH, AXON, XPDI, TOST, MHO, BLNK, CFLT, REPL, VWE, PCOR, LPX, VIVO, NVDA, MTOR, QS, LRN, YELL, HOLX, PHM, NUS, ADBE, PACB, IAS, QDEL, TPIC, PAY, GOEV, FB and GNRC
  

Stocks With Unusual Call Option Activity:

• 1) PACB 2) PRU 3) RETA 4) WDAY 5) INTU

Stocks With Most Positive News Mentions:

• 1) INTU 2) MTRI 3) UWMC 4) PANW 5) MU
  

Charts:

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume

Morning Market Internals

NYSE Composite Index:

• Volume Running +5.7% Above 100-Day Average 
• 7 Sectors Rising, 4 Sectors Declining
• 38.0% of Issues Advancing, 57.3% Declining
• 67 New 52-Week Highs, 73 New Lows
• 59.0% of Issues Above 200-day Moving Average
• Average 14-Day RSI 50.1%
• Bloomberg Global Risk-On/Risk-Off Index 2,933.0 -173.0 points
• Russell 1000: Growth/Value 18,875 +1.3%
  
• Vix 18.0 +2.4%
• Total Put/Call .75 +11.9%
• TRIN/Arms 1.31 unch.

Friday Watch

Evening Headlines

Bloomberg:        

• Biden Can’t Avoid Blame for Inflation, a Tough Problem to Fix.
  
• Korea’s Producer Inflation Hits 13-Year High as Price Risks Grow.  
• Japan Inflation Shows Continued Pulse as Gas Prices Surge.
• Alibaba Outlook Disappoints After China Slowdown Hurt Sales.
• Asian Stocks Edge Up Amid Caution Over China Tech: Markets Wrap.
• Oil Edges Higher as Bargain Hunters Swoop Into the Market.
• It’s Too Late for Biden to Help U.S. Drivers This Thanksgiving.
• Biden Bill Heads to Vote as CBO Sees $367 Billion Deficit.
  
• SALT Analysis Finds Little Middle-Class Help in Congress’s Plans.
• Biden’s Remedy for High Gasoline Prices: Blame Oil Companies.  
• Apple Is Aiming for Fully Autonomous Vehicle.  
• Chamath Palihapitiya Sells Part of SoFi Stake, Expects to Add to Clover.  
• Texas, Midwest at Risk of Blackouts If Winter Brings Deep Freeze.  
• Storms at Canada’s Biggest Port Leave Grain Stuck in Prairies.
• Florida Republicans Overtake Democrats in Registered Voters.

Wall Street Journal:

• The Real Biden Bill: At Least $4.6 Trillion. Program by program, here’s how Democrats disguise the real cost of their entitlement blowout.
• States Investigate Instagram Over How It Affects Children.
• Dominant Lasik Chain Put Profits Over Patient Care, Some Doctors Say.
• Ford, GM Step Into Chip Business. 
• The FBI’s Raid on James O’Keefe. Justice had better have good reason for seizing a journalist’s records. 
• Before Talks, China Lifted Exit Ban and U.S. Deported Chinese Nationals.

Fox News:   

• LIVE UPDATES: House gearing up to slam through socialist spending bill tonight after true cost revealed.
• FOX NEWS POLL: Voters' confidence in COVID vaccine is not what it used to be.
• White House doesn't deny that Biden failed to ask China's Xi COVID question.
  

CNBC.com:

• Ford plans to increase EV production to 600,000 vehicles by 2023.
• Biden administration suspends enforcement of business vaccine mandate.
• Millions of people quit their jobs in the ‘Great Resignation.’ Here is why it may not last long.
• TikTok usage surpassed Instagram this year among kids aged 12 to 17, Forrester survey says.
• If Biden picks Brainard over Powell for Fed chief, expect an immediate market impact.
• Sweetgreen shares surge 76% in salad chain’s stock market debut.
• Starbucks faces expansion of labor union drive beyond New York.
• These nonretail stocks are set for a Black Friday boost, trader says.
• CVS to close 900 stores over three years, as it shifts to digital strategy.

MarketWatch               

• Apple reportedly revving up electric-vehicle plans — ‘a matter of when, not if’.
  
• Retail gasoline prices stand just pennies below their highest Thanksgiving price on record: report.

Zero Hedge:

• CBO Confirms Biden Spending Bill Not Fully Paid For, Would Cost $367 Billion Over A Decade.
• MSNBC Banned From Rittenhouse Trial After Employee Follows Jury Bus; Network 'Regrets' Incident.
• "Significant Storm" And Plunging Temperatures Loom For Thanksgiving Week.
• Murdoch Accuses Facebook, Google Of Censoring Conservative Voices.
• "These Are Numbers We Have Never Seen Before": Drug Overdose Deaths Hit Record High During Pandemic.
• Oregon Middle School Halts In-Person Classes Due To Students "Struggling With Socialization Skills".
• Is The US Shale Patch Refusing To Pump For Political Reasons?
• NY Commuter Train Ridership Still Down 48% From 2019, Despite Trains Appearing "Shoulder To Shoulder" Packed.
• Watch: Rand Paul Warns "Authoritarian" Fauci's "Casual Disdain" For Rights Is "Recipe For Totalitarianism".
• Adam Schiff And The End Of Shame In American Politics.
• "This Is Code Red": Here's How Zillow's Home-Flipping AI Triggered Judgement Day For Real Estate Firm.
• Homicide Rates In 2020 Surged To 24-Year High... Another Sign Of A Failing Regime.
• Goldman: A Biden SPR Release Is Now Fully Priced In And Will Send Oil Price Even Higher In 2022.
• 'Growth' Stocks Near Record Highs To 'Value', Bitcoin Battered To 2Mo Lows.

Newsmax:

• Rep. Scalise: Joe Biden Lying to America About Tax Hikes.
• Sen. Ron Johnson: Biden 'Set Up' Harris for Failure.
• Rep. Wittman: Biden Missed Opportunity to Discuss COVID With Xi.
• 3 GOP Lawmakers Demand Answers on FBI Raid of Project Veritas.

TheGatewayPundit.com:

• FDA Won’t Release Information on Pfizer COVID Vaccine Trials for Another 55 Years – What Are They Hiding?
• Psaki Defends Biden Canceling Keystone XL Pipeline as Gas Prices Skyrocket (VIDEO).
• Hmm… UPDATE: Iranian Nationals Posing as Proud Boys Charged by FBI with Interfering in 2020 Election — Both Believed to Be Back in Iran.
• “It’s For the People” – Pelosi Defends Tax Cuts for Mega-Rich in Blue States – 2nd Largest Ticket Item in Democrat Spending Bill.
• With Oil Prices Up More than 60% in a Year Biden Decides to Sell US Oil Reserves Overseas to Asia.
• Gov. DeSantis Signs Anti-Mandate Bill in Brandon, Florida — Crowd Starts Chanting “Let’s Go Brandon!” (Video).
• House Democrats Plan Thursday Vote on Biden’s Marxist Build Back (Broke) Better Bill.
• Sheriffs Association Representing 17 States Declare No Confidence in Biden’s Open Borders DHS Secretary Alejandro Mayorkas.
• BREAKING: Houston Health Dept Workers Caught on VIDEO Going Door-to-Door Asking Residents: “Have you been vaccinated?…Which one did you get?”
• Quinnipiac Poll: Biden Approval Plunges to 36 Percent Despite Enormous Media Support.

Covid-19(Data, Maps, Graphs):

• Our World in Data:  New Global Covid-19 Cases(7-day rolling average graphs). New US Covid Hospital Admissions/ICU Admissions/Deaths
  
• FT.com:  Fully Vaccinated by Country(graph). Global Lockdown Stringency Index(map).
• Bloomberg.com:  International Travel Restrictions.  Case Graphs by State.
  
• NYTimes.com:  County Trends and Clusters. Local ICU Occupancy.
  
• Brown School of Public Health:  Covid Severity by State/County(map).  US Hospital Capacity(region).
  
• CovidActNow:  Covid Severity/Infection Rate by Metro Area.
  
• KFF:  US Vaccinations by Race/Ethnicity.
  
• Carnegie Mellon: Covid-Like Symptoms in Community. Covid Symptom Searches on Google. Covid-Related Dr.Visits.  Restaurant Visits. Wearing Masks. (graphs)
  
• Safegraph.com:  Commerce Patterns(graphs).

Night Trading 

• Asian equity indices are -.25% to +.25% on average.

• Asia Ex-Japan Investment Grade CDS Index 86.5 -1.5 basis points. 

• China Sovereign CDS 50.75 -1.5 basis points.
  

• Bloomberg Emerging Markets Currency Index 56.13 -.12%. 
• Bloomberg Global Risk-On/Risk Off Index 3,063.0 -53.0 points.
• Volatility Index(VIX) futures 20.5 unch.
• Euro Stoxx 50 futures +.16%.

• S&P 500 futures +.09%

• NASDAQ 100 futures +.14%. 

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (FL)/1.37
  

After the Close:

• (EDU)/.03
  

Economic Releases 

• None of note

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Fed's Clarida speaking, Fed's Waller speaking and the Eurozone PPI report could also impact global trading today.

US Equity Market Hours

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly higher, boosted by technology and industrial shares in the region. I expect US stocks to open modestly higher and to weaken into the afternoon, finishing mixed. The Portfolio is 75% net long heading into the day.

Stocks Reversing Modestly Higher into Final Hour on Earnings Optimism, Stable Long-Term Rates, Technical Buying, Tech/Retail Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Lower
  

• Sector Performance: Most Sectors Declining
  

• Volume: Above Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 17.1 -.2%
• Bloomberg Global Risk On/Risk Off Index 3,114.0 -44.0 points

• Euro/Yen Carry Return Index 134.09 +.6%

• Emerging Markets Currency Volatility(VXY) 9.8 +4.6%

• S&P 500 Implied Correlation 49.3 -1.7%

• ISE Sentiment Index 152.0  +25.0 points
  

• Total Put/Call .64 -20.0%

• NYSE Arms 1.28 +14.9%

Credit Investor Angst:

• North American Investment Grade CDS Index 50.98 +.07%
  

• US Energy High-Yield OAS 385.28 +.80%

• European Financial Sector CDS Index 57.14 -.63%

• Italian/German 10Y Yld Spread 120.0 -2.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 86.91 -2.2%
  

• Emerging Market CDS Index 185.28 +.46%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 33.3 +.59%

• 2-Year Swap Spread 24.25 -.25 basis point
  

• TED Spread 11.5 -.5 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -24.0 -2.0 basis points
  
• MBS  5/10 Treasury Spread  64.5 +.5 basis point
  
• IHS Markit CMBX BBB- 6 73.0 unch.
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 56.30 -.74%
• 3-Month T-Bill Yield .04% unch.
  

• Yield Curve 108.0 -3.0 basis points
  

• China Iron Ore Spot 86.45 USD/Metric Tonne -1.3%

• Citi US Economic Surprise Index 31.9 +6.3 points

• Citi Eurozone Economic Surprise Index -48.0 +.9 point
  

• Citi Emerging Markets Economic Surprise Index -19.5 -1.1 points

• 10-Year TIPS Spread 2.72 +1.0 basis point
• 95.3% chance of no change at Jan. 26th meeting, 84.7% chance of no change at March 16th meeting

US Covid-19:

• 191 new infections/100K people(last 7 days total) +5/100K people
• 36% of Jan. 7th, 2021 peak(highest daily avg. new infections) +1.0 percentage point
  

Overseas Futures:

• Nikkei 225 Futures: Indicating -43 open in Japan 
• China A50 Futures: Indicating -70 open in China

• DAX Futures: Indicating +1 open in Germany

Portfolio:

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

• Disclosed Trades:  None
  

• Market Exposure:  100% Net Long
  

Bear Radar

Style Underperformer:

• Small-Cap Growth -.8%

Sector Underperformers:

• 1) Alt Energy -4.4% 2) Tobacco -2.9% 3) Digital Health -2.8%

Stocks Falling on Unusual Volume: 

• VIR, HTZ, GAN, GH, STTK, LMND, GGPI, CSCO, FSR, BERY, DH, TDOC, AI, BLNK, WOOF, IONQ, TLRY, CERT, HP, LCID and EYPT
  

Stocks With Unusual Put Option Activity:

• 1) INDA 2) EMB 3) M 4) CL 5) DG
  

Stocks With Most Negative News Mentions:

• 1) ASYS 2) HP 3) HOOD 4) BABA 5) BTCM
  

Charts:

• ETFs Falling on Unusual Volume
• Stocks Falling on Unusual Volume

Bull Radar

Style Outperformer:

• Large-Cap Growth +.7%

Sector Outperformers:

• 1) Retail +1.5% 2) +1.2% 3) Road & Rail +.4%

Stocks Rising on Unusual Volume:

• DRNA, M, BJ, VSCO, RCUS, ARWR, AUR, RNA, DYN, NVDA, ATKR, ALNY, KSS, KZR, U, HGV, BBWI, JWN, AEO, GES, BOOT, LZB, PLCE, THRY, PLBY, SNII, SCVL, MUSA, ALHC, BKE, DLB, FL, CAL, GPS, CF, AMZN, ASPN, TRHC, XMTR, DDS and WSM
  

Stocks With Unusual Call Option Activity:

• 1) ECH 2) DS 3) BSX 4) HEAR 5) M

Stocks With Most Positive News Mentions:

• 1) NVDA 2) AMD 3) M 4) BBWI 5) LGVN
  

Charts:

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume