Financials: Sept. Bonds are currently 21 lower at 128'02. Near term support is currently 127'18 and near term resistance 128'28. I remain on the sidelines.
Grains: On Friday Nov. Beans closed 17 cents higher, Dec. Corn 13 higher and Dec. Wheat 34 higher. Over night Beans were 16 higher, Corn 8 higher and Wheat 26 higher. Historically high temperatures in the Ukraine, wet conditiond in China and continued purcheases by Commodity Funds continue to fuel upside momentum. If you remain long Nov. Beans either take profits or raise your sell stop to the 1006'0 level. If you remain long Dec. Corn either take profits or raise youer sell stop to the 402'0 level. We remain long out of the money call spreads in Dec. Corn.
Cattle: On Friday live Cattle closed 80-112 higher and Feeder Cattle about steady. If you remain short Oct. Cattle contniue to use a protective buy stop in the 95.20 area. Producers should be looking for hedging opportunites in both Live and Feeder Cattle.
Silver: Sept. Silver is currently 41 cents higher at 18.42. I am looking for a test of resistance in the 18.50 area. We remain long the Dec. Silver 20/22 call spread.
S&P's: Sept. S&P's are currently 14.00 higher at 1112.25. Good earnings in Europe and a slowing economy in China have pushed the market higher. I think the market is looking at a slowing economy in China as a reason for continued low interest rates. To be honest, I do not know if this is particulrly bullish in the long term as I feel that contiued low interest rates are a symptom of stagnation.. The market is currently trading near short term resistance in the 1113.00 area with long term resistance remaining at 1129.50. Near term support is now the 1087.00 level. We remain short the Sept. 1140 call.
Currencies: As of this writing the Sept. Euro is currently 80 higher at 1.3134, the Swiss 11 lower at .9609, the Yen 51 lower at 1.1534 and the Pound 161 higher at 1.5854. To be honest, I am out of step with the currencies. As mentioned late last week, I am ready to throw in the towel on my short bias to the Euro and just looking for an opportunity to cover either short call or liquidate long put postitions.