Financials: Sept. Bonds are currently 24 lower at 119'17, the 10 Yr. Notes 9 lower at 117'18, the 5 Yr. Notes 5 lower at 115'28 and the 2 Yr. Notes unchanged at 108'21. We remain short the Sept. Bonds and continue to use a protective buy stop at 121'04. My near term objective remains just below the 118'00 level and longer term my objective remains at the 116'00 level. If the market trades below 118'04 either look to take profits or lower your buy stop to the 120'20 level. As noted yesterday if you find the Bonds too volatile for your trading objectives, consider trading either the 10 Yr. Notes or the 5 Yr. Notes.
Grains: Yesterday Nov. Beans were fractionally lower, Dec. Corn 3 cents higher and Dec. Wheat 3 lower. Over night Beans were 12 higher, Corn 2 higher and Wheat 3 higher. Predicted cool temperatures are adding a bit of upside momentum to the Grains this morning. I like the long side of Beans, but I am going to wait until at least Monday before reinstating a long position. Near term support for Nov. Beans is currently 987'0 and near term resistance the 1020'0 area. We remain long out of the money calls and/or call spreads in Dec. Corn.
Cattle: Yesterday Oct. Live Cattle closed 20 higher at 87.57. Continue to treat as a trading market between 86.00 and 91.50.
Silver: Dec. Silver is currently 55 cents higher at 14.80. We continue to remain long. If you are only in this position for a short term trade, take profits. I highly recommend rolling any remaining Sept. positions into the Dec. contract today to avoid a delivery situation.
S&P's: Sept. S&P's are currently 7.00 higher at 1036.00. Yesterday's support level of 1014.00 has held. Near term resistance remains at 1038.00, the August 25th high. I remain on the sidelines.
Currencies: As of this writing the Sept. Euro is 8 higher at 1.4380, the Swiss 24 higher at .9483, the Yen 30 lower at 1.0670 and the Pound 74 higher at 1.6359. I continue to recommend being long out the money puts and/or put spreads in both the Yen and the Pound. The Sept. Dollar Index is currently 9 lower at 77.965.