Financials: June Bonds are currently 8 lower at 116'14. If you remain short the Bonds or short the combination of June Bonds and the June Bond 115'00 put either take profits or use a protective buy stop at 117'22. If you have the combination and you are stopped out of the futures, buy back the short 115'00 put. Near term support is currently the 116'06 level. If near term support is penetrated, the next level of support is the 115'18 level.
Grains: On Friday May Beans closed fractionally higher, Corn 7 cents lower and Wheat 8 lower. Over night Beans were 3 higher, Corn fractionally higher and Wheat 2 higher. I am still looking to be a buyer in May Beans in the 935'0 area and May Corn in the 368'0 area. The May Beans 880'0/1000'0 strangle closed at 20'0 on Friday. If you remain short this strangle I will be looking to cover this position at 19'0 or better today if the market allows. Time decay should start working in our favor as long as the Beans stay above 920'0 and below 975'0.
Cattle: On Friday Apr. Cattle closed 7 lower at 92.50 and June 10 lower at 91.57. Open interest in the nearby Apr. lost 6600+ contracts while June gained 3500+ and Aug. gained 2800+. Overall open interest gained 1300+. I continue to wait on the sidelines. However, I feel that hedgers should be looking at out of the money puts on any further strong rallies as price insurance. I am not ready to recommend hedgers be short futures at the moment as the market is technically pointing toward higher prices.
Silver: May. Silver is currently 5 cents higher at 17.44. If you remain long futures, take some profits. We remain long out of the money call spreads on the July contract.
S&P's: June S&P's are currently 1.00 higher at 1132.75. I remain on the sidelines as far as futures are concerned. I continue to recommend being long out of the money puts as portfolio insurance.
Currencies: As of this writing the Jun. Euro is 39 higher at 1.3660, the Swiss 31 higher at .9347, the Yen 10 higher at 1.1084 and the Pound 13 lower at 1.5135. Greece's ability to sell their first round of Bonds with the market being oversubscribed by 300% has given some strength in the past two sessions. I still favor the short side of this market and am patiently waiting for a selling opportunity above the 1.3800 level. The Yen has fallen 200+ points over the last few sessions. If you are the long 1.0700 put or 1.0700/ 1.0200 put spread I recommend taking some profits. I will buy the 1.0600 put and simultaneously sell the 1.0700 put at 25 points premium the 1.0700. The June Dollar Index is currently 18 lower at 80.56.