Financials: June Bonds are currently 11 lower at 116'08. This morning's Retail Sales report came out better than expected at +0.3% versus a pre-report guesstimate of -0.3%. If you remain short the Bonds or continue to hold the combination of short Bonds and short the June Bond 115'00 put either take profits or continue to use a protective buy stop at 116'28. If the market trades below 115'26 lower your buy stop to the 116'17 level. Support remains at 115'18.
Grains: Yesterday May Beans were 27 cents lower, Corn fractionally lower and Wheat 2 lower. Over night Beans were 6 higher, Corn 2 higher and Wheat 5 higher. We have been stopped out of a recent long position in May Beans. We remain long May Corn with a protective sell stop at 358'0. The May Beans 880'0/1000'0 strangle closed at 17'4. If you remain short this strangle, take profits. Some of you have asked why I am leaving so much on the table so to speak, considering that both ends of this strangle are still at least 50 cents out of the money. It has been my experience that anything can happen and a 50 cent cushion at this time is beyond my comfort zone. We originally put this trade on at 35'0 and I feel that a 16'0+ is a pretty good profit.
Cattle: Yesterday Apr. Cattle closed 5 lower and Jun. 22 higher. Apr. continues to lose open interest to the Jun. and Aug. contracts. I continue to recommend that hedgers consider buying out of the money puts as price insurance.
Silver: May Silver is currently 2 cents higher at 17.18. I continue to recommend taking partial profits from any existing long positions. We continue to hold out of the money call spreads on the July contract.
S&P's: Jun. S&P's are currently 1.00 higher at 1147.00. We were stopped out of a recent short position at 1150.00. Call me a glutton for punishment, but I am going to sell the S&P's again. After doing a bit more technical research, I feel the market is still in resistance and bumping up against the lows made in mid to late September of 2008. I continue to recommend being long out of the money puts as portfolio insurance.
Currencies: As of this writing the Jun. Euro is trading 73 higher at 1.3745, the Swiss 71 higher at .9431, the Yen 45 lowers at 1.0999 and the Pound 89 higher at 1.5129. We remain long the Jun. Yen 1.06 put and/or the Jun. Yen 1.06/1.02 put spread. I am still looking at the short side of the Euro above the 1.3800 level if the market allows.