Financials: June Bonds are currently 28 lower at 126’23, the 10 Yr. Notes 15 lower, the 5 Yr. Notes 10 lower and the 2 Yr. Notes 2 lower at 108’17.0. The December Eurodollars are currently 2.5 lower at 98.640. We remain short the 2 Yr. Notes and/or the 5 Yr. Notes and will look to take profits if the 2 Yr. Notes trade below the 108’12.0 level. June Bonds are currently under pressure due to better than expected earnings by Wells Fargo earlier this morning which has rallied the Equity Futures markets. Yesterday June Bonds both reached my near term objective and later traded through my recommended stop loss orders taking us out of a recent long position. Weekly jobless claims were down by 20K versus expectations of down 9k which should put some added pressure on the market. Support in the Bonds is currently 125’24 and resistance 127’20. Treat as a trading market between support and resistance.
Grains: Yesterday Beans were 16 higher, Corn fractionally higher and Wheat 7 lower. Over night Beans were up an additional 17 cents, Corn 3 higher and Wheat 7 higher. We remain long out of the money calls and/or call spreads in July Corn. If you are holding multiple contract positions in these calls I recommend starting to take profits if the July Corn trades at the 430’0. Yesterday we were able to buy July corn below the recommended 404’0 level. Over night this market traded as high as 410’0. If you went long raise your protective sell stop to the 397’0 level or take profits above 417’0 if you are only looking for a short term trade. There will be a weekly export sales report this morning.
Cattle: Yesterday Live Cattle closed 22 lower to 2 higher depending on the contract month. June Cattle closed 2 higher at 83.77. Electronically June Cattle is currently 110 higher at 84.87. If you went long over the last couple of days either take the short term profit or raise your protective sell stop to your break even level.
Silver: May Silver is currently 18 cents lower at 12.15. Support remains in the 11.80-12.02 area. I will be looking to reinstate a long position on a break to the lower end of support.
S&P's: June S&P’s are currently 20.00 higher at 842.25. Better than expected earnings by Wells Fargo has rallied the market this morning. The market is now trading near the weekly high of 848.00 (4/6/2009) and I am willing to trade this market from the short side at currently levels with a protective buy stop above the 852 level.
Currencies; As of this writing the euro is 47 higher at 1.3277, the Swiss 4 lower, the Yen 67 lower and the Pound 33 higher. The June Dollar Index is currently 21 lower at 85.50. I am on the sidelines in the currencies until Monday.
The markets will be closed on Friday.