Volume off the high 10/10/12

I usually look for "themes" in the volume off the high screens, regardless if the company makes the final cut or not. Today's theme(s) are intertwined. First, most if not all of the funds making the screen are closed-end funds that were/are trading well above their NAV's. Investors and traders appear to be taking profit in these funds, as most have increased significantly over the last year. We also may be the arbs coming in to take advantage of the valuation gap. The other theme, of sorts, in the screens is that funds making the list are either high-yield funds or municipal funds. If I had to guess, I think the later, the gap between the price and NAV's, are more of a determining factor in the sell-off in these funds. Although I cannot be certain of this, I base this thinking on the lack of large-volume selling pressure in other bond funds including the Pimco Intermediate Muni ETf (ticker MUNI) and the Barclay's High Yield Spider ETF (ticker JNK).

B&G Foods- BGS, down on the announcement of a secondary offering.

 MFS California Muni Bond Fund- CCA

 MFS High Income Municipal Trust- CXE

 Edwards Lifesciences- EW, down on a cut to guidance

 Owens Corning- OC, also declining off the high a cut to guidance

Pimco Global Stock plus Income Fund- PGP

 Pioneer High Income Trust- PHI

Pimco Income Opportunity Fund- PKD

 

 Pimco Municipal Income Fund III- PMX

Pimco Strategic Global Government Fund- RCS

Vasco Data Security- VDSI lower of a reduction in guidance