Stocks Surging into Afternoon on Central Bank Hopes, Bargain-Hunting, Commodity Bounce, Biotech/Energy Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Most Sectors Rising
  

• Volume: Above Average

• Market Leading Stocks: Undperforming

Equity Investor Angst:

• Volatility(VIX) 30.98 -23.96%

• Euro/Yen Carry Return Index 142.97 -.48%

• Emerging Markets Currency Volatility(VXY) 12.08 -1.87%

• S&P 500 Implied Correlation 55.01 -.74%

• ISE Sentiment Index 78.0 +69.57%

• Total Put/Call 1.27 +1.60%

• NYSE Arms .96 -47.23% 

Credit Investor Angst:

• North American Investment Grade CDS Index 85.30 -2.96%

• America Energy Sector High-Yield CDS Index 1,949.0 +3.76%

• European Financial Sector CDS Index 84.66 -5.44%

• Western Europe Sovereign Debt CDS Index 24.64 -.14%

• Asia Pacific Sovereign Debt CDS Index 81.86 -5.97%

• Emerging Market CDS Index 374.74 -1.90%
  

• iBoxx Offshore RMB China Corporates High Yield Index 117.32 -.69%

• 2-Year Swap Spread 19.75 -1.5 basis points

• TED Spread 28.0 -2.25 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -19.50 -1.5 basis points

Economic Gauges:

• 3-Month T-Bill Yield .04% +2.0 basis points

• Yield Curve 149.0 +4.0 basis points

• China Import Iron Ore Spot $53.45/Metric Tonne +.32%

• Citi US Economic Surprise Index -15.3 +3.3 points

• Citi Eurozone Economic Surprise Index 17.9 +2.3 points

• Citi Emerging Markets Economic Surprise Index -8.0 +.5 point

• 10-Year TIPS Spread 1.53 +3.0 basis points
• # of Months to 1st Fed Rate Hike(Morgan Stanley) 6.55 +2.06

Overseas Futures:

• Nikkei 225 Futures: Indicating +278 open in Japan 
• China A50 Futures: Indicating +398 open in China

• DAX Futures: Indicating -150 open in Germany

Portfolio: 

• Slightly Lower: On losses in my index hedges and emerging markets shorts

• Disclosed Trades: None

• Market Exposure: 25% Net Long