Mid-Day Market Internals

NYSE Composite Index:

• Volume Running -24.9% Below 100-Day Average 
• 7 Sectors Rising, 4 Sectors Declining
• 52.6% of Issues Advancing, 43.6% Declining
• 252 New 52-Week Highs, 9 New Lows
• 88.9% of Issues Above 200-day Moving Average
• Average 14-Day RSI 53.9%
  
• Bloomberg Global Risk-On/Risk-Off Index 3,236.0 +144.0 points
• Vix 17.5 -.3%
• Total Put/Call .81 +17.4%
• TRIN/Arms .66 -25.0%

Stocks Slightly Higher into Final Hour on US Economic Data, Earnings Optimism, Oil Gain, Energy/Retail Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Lower
  

• Sector Performance: Mixed
  

• Volume: Below Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 17.9 +1.3%
• Bloomberg Global Risk On/Risk Off Index 3,095.0 -9.0 points

• Euro/Yen Carry Return Index 135.87 +.58%

• Emerging Markets Currency Volatility(VXY) 9.71 -.51%

• S&P 500 Implied Correlation 49.4 -.5%

• ISE Sentiment Index 99.0 -31.0 points
  

• Total Put/Call .65 unch.

• NYSE Arms 1.04 +22.4%

Credit Investor Angst:

• North American Investment Grade CDS Index 51.49 +.43%
  

• US Energy High-Yield OAS 446.21 -.97%

• European Financial Sector CDS Index 59.43 +1.2%

• Italian/German 10Y Yld Spread 107.0 +2.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 82.87 -.56%
  

• Emerging Market CDS Index 168.87 +1.02%
  

• China Corp. High-Yield Bond USD ETF(KCCB) 3923 unch.

• 2-Year Swap Spread 10.75 -.5 basis point

• TED Spread 17.75 +1.0 basis point
  

• 3-Month EUR/USD Cross-Currency Basis Swap -4.25 -.5 basis point
  
• MBS  5/10 Treasury Spread  64.5 -2.25 basis points
  
• IHS Markit CMBX BBB- 6 71.25 -.25 basis point
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 60.90 -.02%
• 3-Month T-Bill Yield .01% unch.
  

• Yield Curve 141.0 unch.
  

• China Iron Ore Spot 188.0 USD/Metric Tonne +1 .1%

• Citi US Economic Surprise Index 44.20 +5.8 points

• Citi Eurozone Economic Surprise Index 130.1 -2.0 points
  

• Citi Emerging Markets Economic Surprise Index 42.8 +7.2 points

• 10-Year TIPS Spread 2.39 +3.0 basis points
• 89.4% chance of no change at June 16th meeting, 89.4% chance of no change at Sept. 22nd meeting

Overseas Futures:

• Nikkei 225 Futures: Indicating +62 open in Japan 
• China A50 Futures: Indicating -43 open in China

• DAX Futures: Indicating +33 open in Germany

Portfolio:

• Slightly Higher: On gains in my medical/industrial/energy sector longs
  

• Disclosed Trades: None
  

• Market Exposure: 100% Net Long
  

Bear Radar

Style Underperformer:

• Large-Cap Growth -.2%

Sector Underperformers:

• 1) Oil Service -3.2% 2) Alt Energy -1.2% 3) Gold & Silver -.9%

Stocks Falling on Unusual Volume: 

• BFAM, SKLZ, SGH, CNC, MASI, CDNS, TNET, AMKR, HYFM, MEDP and MVIS
  

Stocks With Unusual Put Option Activity:

• 1) VXRT 2) F 3) MVIS 4) UPS 5) WW
  

Stocks With Most Negative News Mentions:

• 1) PQG 2) PLUG 3) SPLK 4) CAN 5) APAM
  

Charts:

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

Bull Radar

Style Outperformer:

• Mid-Cap Value +.2%

Sector Outperformers:

• 1) Gaming +1.7% 2) Retail +1.4% 3) Homebuilding +1.4%

Stocks Rising on Unusual Volume:

• ALDX, TBI, BTX, AAN, CROX, MUDS, UPS, DMTK, DLTH, HYLN, TPB, PRG, WISH, ASIX, LESL, PHM, FDX, CCCC, TRU, SSNC, PJT, AXSM, RETA, ADM and OTIS
  

Stocks With Unusual Call Option Activity:

• 1) VXRT 2) KSU 3) MOS 4) EWY 5) AMPE

Stocks With Most Positive News Mentions:

• 1) ALDX 2) TBI 3) AAN 4) UPS 5) CROX
  

Charts:

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

Mid-Day Market Internals

NYSE Composite Index:

• Volume Running -25.0% Below 100-Day Average 
• 7 Sectors Rising, 4 Sectors Declining
• 54.2% of Issues Advancing, 41.8% Declining
• 212 New 52-Week Highs, 11 New Lows
• 89.1% of Issues Above 200-day Moving Average
• Average 14-Day RSI 54.0%
  
• Bloomberg Global Risk-On/Risk-Off Index 3,114.0 +11.0 points
• Vix 17.7 +.1%
• Total Put/Call .66 +1.5%
• TRIN/Arms .83 -2.4%

Tuesday Watch

Night Trading 

• Asian equity indices are -.5% to +.25% on average.

• Asia Ex-Japan Investment Grade CDS Index 85.5 +2.25 basis points.

• China Sovereign CDS 38.25 +2.25 basis points.

• Bloomberg Emerging Markets Currency Index 60.88 -.04%.
• Bloomberg Global Risk-On/Risk Off Index 3,104.0 -2.0 points.
• Volatility Index(VIX) futures 20.2 -.3%.
• FTSE 100 futures -.2%.

• S&P 500 futures +.05%.

• NASDAQ 100 futures +.06%.

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (MMM)/2.29
• (ABB)/.28
• (ADM)/1.02
• (AWI).90
• (BP)/.07
• (GLW)/.43
• (LLY)/2.16
• (GE)/.01
• (HAS)/.67
• (JBLU)/-1.72
• (PCAR)/1.31
• (PII)/1.53
• (PHM)/1.22
• (RTX)/.73
• (SHW)/1.63
• (UPS)/1.72
  

After the Close:

• (AMD)/.44
• (GOOG)/15.64
• (AMGN)/4.06
• (BXP)/1.56
• (BYD)/.41
• (CHRW)/.99
• (COF)/3.77
• (CB)/2.88
• (FFIV)/2.39
• (ILMN)/1.25
• (JNPR)/.25
• (MANH)/.32
• (MXIM)/.74
• (MSFT)/1.77
• (MDLZ)/.70
• (NCR)/.47
• (OLN)/1.21
• (PINS)/.07
• (SBUX).52
• (SYK)/1.98
• (TER)/1.05
• (TXN)/1.60
• (V)/1.26
• (YUMC)/.46
  

Economic Releases

9:00 am EST

• The FHFA House Price Index MoM for Feb. is estimated to rise +1.0% versus a +1.0% gain in Jan.
• The S&P CoreLogic CS 20-City MoM for Feb. is estimated to rise +1.1% versus a +1.2% gain in Jan.
  

10:00 am EST

• The Conference Board Consumer Confidence Index for April is estimated to rise to 113.0 versus 109.7 in March. 
• The Richmond Fed Manufacturing Index for April is estimated to rise to 22.0 versus 17.0 in March.
  

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Australia Inflation Data report, $62B 7Y T-Note auction and the weekly US retail sales reports could also impact global trading today.

US Equity Market Hours

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly lower, weighed down by commodity and financial shares in the region. I expect US stocks to open mixed and to rally into the afternoon, finishing modestly higher. The Portfolio is 100% net long heading into the day.