S&P's: June S&P’s are currently 7.50 higher at 890.50. As mentioned Friday my downside objectives for the near term has been reached and I recommend covering any remaining short positions. I am not ready to recommend the long side of the market which leaves me on the sidelines for the day.
Financials: Bonds are currently 12 higher at 123’09, the 10 Yr. Notes 2 higher, the 5 Yr. Notes 1 lower and the 2 Yr. Notes 1 lower at 108’29. The December Eurodollars are 2 higher at 99.070. We have taken profits on the short out of the money puts and/or long out of the call positions in June Bonds. We remain short the 2 Yr. Notes and short the Dec. Eurodollars. These positions are a bit against us at the moment but I am willing to give these positions a bit more time.
Grains: On Friday Beans were 17 cents lower, Corn 11 lower and Wheat 15 lower. Over night Beans were 10 lower, Corn 6 lower and Wheat 6 lower. We are currently on the sidelines in Beans and Wheat. We remain long out of the money calls and/or call spreads in July Corn. I will be interested in going long July Wheat below 550’0 and July Beans below 1085’0 if the market allows.
Cattle: On Friday Live Cattle closed 22-42 lower with the nearby June contract closing 42 lower at 82.37. My recommended sell stop for remaining long positions in June Cattle at 82.05 was penetrated Friday, putting us on the sidelines. Starting Tuesday I will be looking to the August contract as a trading vehicle.
Silver: July Silver is currently 20 cents lower at 13.79. I am still on the sidelines and will be a cautious buyer below the 13.60 level. If you are used to trading multiple contracts I recommend doing a smaller amount than your usual number of contracts, as we are at the high end of the years range and this presents a higher risk.
Currencies: As of this writing the Euro is 24 higher, the Swiss 30 higher, the Yen 75 lower and the Pound 130 higher at 1.5289. We remain short the Pound with a protective buy stop at the 1.5450 level. The June Dollar Index is currently 28 lower at 82.875. We remain long this market with a protective sell stop at 81.65.