Financials: Mar. Bonds are currently 4 lower at 117'14. Yesterday the market traded down to support in the 117'20 area as the market contemplated language from the fed that indicated the possibility in a rate increase in Fed Funds sometime in the coming months. Overnight the market traded as low as 117'06. If you went long at support use a protective sell stop at 117'02. If the market trades above the 117'29 level either take the quick profit or raise your sell stop to the 117'12 level. Near term resistance is now the 118'22 level.
Grains: Yesterday Mar. Beans closed 13 cents higher, Corn 3 higher and Wheat 14 higher. Over night Beans are 8 higher at 945'4, Corn 2 higher at 363'6 and Wheat 3 lower at 493'2. I still like the long side of Mar. Corn on breaks. Near term support and resistance for Mar. Corn is 352'0 and 371'0. Near term support in Mar. Beans is currently 928'0 and resistance 958'0. We were unable to do the May Beans 880'0/1000'0 strangle at 35'0 yesterday, but will try again today.
Cattle: Yesterday Apr. Live Cattle closed 7 higher at 91.55. This morning the market is slightly higher, traded currently at 91.67. I still feel this market has overhead resistance in the 92.00-93.00 area and recommend being a seller above the 92.00 level.
Silver: Mar. Silver is currently 3 cents higher at 15.33. We remain long out of the money call spreads on the July contract. If the market trades below the 14.70 level I recommend covering the short leg of any call spreads. I also recommend the long side of futures below the 14.70 level.
S&P's: Mar. S&P's are currently 1.00 lower at 1062.25. Continue to treat as a trading market between 1053.00 and 1070.00. I feel the over all trend points toward lower prices and prefer the short side of the market on rallies.
Currencies: As of this writing the Mar. Euro is 68 lower at 1.3667, the Swiss 43 lower at .9324, the Yen 24 higher at 1.1149 and the Pound 13 higher at 1.5598. The Mar. Dollar Index is currently 21 higher at 80.35. Continued concern over what action will be taken to bail out Greece and other European countries (Spain and Portugal?) over the next few sessions continue to pressure the Euro. Will there be direct loans, buying of Greek Bonds, nobody knows for sure. I feel once a decision is made there could be a dramatic one or two day rally and I will be looking to be a seller on this news of the Euro. Another strategy would be to be a buyer of the Dollar Index on a sharp break.