Financials: Sept. Bonds are currently 5 lower at 120'05, the 10 Yr. Notes 4 higher at 118'05, the 5 Yr. Notes 2 lower at 116'07 and the 2 Yr. Notes 1 higher at 108'24. We remain short the Sept. Bonds and will continue to use a protective buy stop at the 121'04 level. My near term objective remains just below the 118'00 level. Longer term my downside objective is the 116'00 area. Starting today, the Dec. contract will be considered lead month and I recommend rolling your position into Dec. Tomorrow I will be referring to the Dec. contract in my comments.
Grains: On Friday Nov. Beans closed 15 cents higher, Dec. Corn fractionally lower and Dec. Wheat 8 lower. Over night Beans were 27 lower, Corn 4 lower and Wheat 5 lower. We remain on the sidelines in Nov. Beans; however, I will be looking at a break below the 963'0 level as a buying opportunity. We remain long out of the money calls and/or call spreads in Dec. Corn. Wheat is once again on my radar and I will be looking at sharp breaks (30 cents) from current levels as a buying opportunity.
Cattle: On Friday Oct. Live Cattle closed 87 lower at 86.70. I continue to remain on the sidelines. Treat as a trading market between 86.00 and 91.50.
Silver: Dec. Silver is currently 18 cents lower at 14.60. We remain long and will be add to current positions on a one to one and a half dollar break from current levels if the market allows. I also recommend that short term traders stand aside after taking profits from recent longs at current levels.
S&P's: Sept. S&P's are currently 7.00 lower at 1020.50. Continue to treat as a trading market between 1014.00 and 1038.00.
Currencies: As of this writing the Sept. Euro is 3 lower at 1.4284, the Swiss 11 lower at .9418, the Yen 58 higher at 1.0742 and the Pound 57 lower at 1.6212. We remain long out of the money puts and/or put spreads in the Yen and the Pound. The Sept. Dollar Index is currently 12 higher at 78.505. The Index continues to show support in the 78.00 area.