HALF TIME

Markets are lower at mid day as interest rates continue to move higher (straight up) with the 10 year Bond trading near the 4.86% level after starting the day at the 4.8% level.

The DJIA is lower by 50, NAZ lower by 16 and SPX down by 8.

Strongest sectors continue to be internets and semis although way off their highs with emerging markets, homies, oils, brokers, trannies and biotech acting the worst.

Market internals are crummy all around with a red 1,250 on NYSE and red 950 on the NAZ.

Major indexes have about 30 green stocks on the OEX; 15 green on the NDX and 140 winners on the SPX.

The VXO has shot up about 10% to the 9.88 level and trades near/at its 10 day SMA while the VIX is all the way up to 10.5 also near its 10 day SMA.

I don't think we get much of a bounce today as market internals and leading sectors such as brokers act poorly. The markets are hardly in oversold areas and I am waiting for lower prices to add positions.