Financials: June Bonds are currently 6 lower at 116'04. Near term support of 116'06 has been penetrated leaving the next level of support in the 115'18 area. If you remain short the Bonds or have the combination of short Bonds and short the June Bond 115'00 put either take profits or use a protective buy stop at the 116'28 level. Weekly jobless claims were 6,000 and continuing claims up 37,000. The weekly claims were down slightly less than expected.
Grains: Yesterday May Beans were 10 cents higher, Corn 3 lower and Wheat 8 lower. Over night Beans were 4 lower, Corn 1 lower and Wheat 2 lower. After yesterday morning's report the market opened unexpectedly lower in Beans stopping me out of a recent long position at 942'0. If you were not stopped out I recommend raising your sell stop to the 948'0 level or take profits. We remain long May Corn with a protective sell stop at 358'0. The May Beans 880'0/1000'0 strangle settled at 19'1. If you remain short this position take profits at 19'0 if the market allows.
Cattle: Yesterday Apr. Cattle closed 52 lower at 93.87 and June Cattle 60 lower at 91.72. Open interest went up 7941 over all with Apr. declining 5400+ , Jun adding 8500+ and Aug. adding 3000+. I continue to recommend hedgers buying out of the money puts for price insurance.
Silver: May Silver is currently 10 cents lower at 16.91. I continue to recommend taking partial profits from long futures positions. We remain long out of the money call spreads on the July contract. If the market trades above 17.70 I will recommend liquidating the call spreads.
S&P's: Jun. S&P's are currently 4.00 lower. We remain short futures with a protective buy stop at 1150.00. If the market trades below the 1126.00 level, lower your buy stop to 1144.00. We remain long out of the money puts as portfolio insurance.
Currencies: As of this writing the Jun. Euro is 14 lower at 1.3636, the Swiss 12 lower at .9334, the Yen 15 higher at 1.1068 and the Pound 42 higher at 1.5006. This morning's monthly trade deficit report came in at $37 billion, slightly better than the expectation of a deficit of $39.5 billion. We remain long the Jun. Yen 1.06 put and/or the 1.06/1.02 put spread. I will be looking to the short side of the Jun. Euro above the 1.3800 level if the market allows. The Jun. Dollar Index is currently 5 higher at 80.79.