Financials: Jun. Bonds are currently 14 higher at 114'26. We remain long the 114'00/112'00 put spread. I recommend using an open order to buy the Jun. 113'00 put and sell the Jun. 114'00 put at 34 points. The reason for this: Originally we did the 114'00/112'00 put spread at 34 points. If you are able to buy the 113'00/sell the 114'00 at 34 you will in effect be in the 113'00/112'00 put spread for just the cost of your commissions. Currently the market needs to trade just below 114'00 for this order to be filled.

Grains: Yesterday Beans were 6 cents lower, Corn 1 higher and Wheat 1 lower. Over night beans were 2 higher, Corn fractionally higher and Wheat 1 lower. We have taken profits from the short July Beans 880'0/1080'0 strangle. I am still looking at the long side of either May or July wheat and recommend using a protective sell stop 20 cents below your purchase price.

Cattle: Yesterday Apr. Cattle closed 67 higher at 97.32, Jun. 67 higher at 94.20 and Aug. 75 higher at 92.75. Feeder Cattle contracts closed sharply higher on new contract highs. I continue to recommend that hedgers buy out of the money puts for price insurance as opposed to selling futures contracts. As for a speculative recommendation, I am on the sidelines.

Silver: May Silver is currently 15 cents lower at 17.97. I am currently on the sidelines. The Dollar is stronger this morning and I feel that Silver is subject to a break. At some point in the coming weeks I will be looking to buy an out of the money call spread on the Dec. contract.

S&P's: Jun. S&P's are currently 5.00 lower at 1178.00. We continue to hold a combination of short futures and short out of the money puts. I am currently using a protective buy stop at 1192.00. If the market trades below the 1166.00 level I will lower my stop to the 1186.00 level.

Currencies: As of this writing the Jun. Euro is 118 lower at 1.3366, the Swiss 83 lower at .9338, the Yen 43 higher at 1.0657 and the Pound 131 lower at 1.5158. A call for new elections in England and continuing problems for Greece, Ireland, Italy, Portugal, etc. have put downward pressure on currencies (upward pressure on the dollar) this morning. The Jun. Dollar Index is currently 50 higher at 81.75. If the Dollar trades above 82.00, look for a test of recent highs in the 82.50 area. I am not yet ready to predict new yearly lows in the Euro, Pound and Yen as yet, but I will be looking for some cheap puts and/or put spreads to buy on any significant rally in these currencies.

Regards,

Marc