Grains: Yesterday Beans were 11 higher to 2 lower with old crop contracts continuing to gain on new crop contracts. Corn was down the 30 cent limit and Wheat 17 cents lower. Without trying to state the obvious, the increase in corn acreage that showed up in yesterday mornings USDA report had a dramatic downside effect on the market. On the open we were stopped out of our long Nov. Beans position as the market traded through the 987.0 level. Over night Beans were 19 cents higher, Corn 4 higher and Wheat 8 higher. I am currently on the sidelines.

Cattle: Yesterday Live Cattle was 15-50 lower with the Aug. contract closing 15 lower at 85.20. For the moment I am looking to be a buyer on either the Aug. or Oct. contracts on a 60-75 point break with a protective sell stop 125 points below entry level.

Silver: Sept. Silver is currently 19 cents higher at 13.78. We remain long with a protective sell stop at 12.92. If the market should trade above the 14.45 level raise your sell stop to 13.45.

S&P's: Sept. S&P's are currently 4.00 higher at 919.50. Yesterday the market just about covered the gamut of support and resistance making a low of 908.25 and a high of 926.25. Continue to treat as a trading market between 906.00 and 926.00.

Currencies: As of this writing the Sept. Euro is 90 higher at 1.4130, the Swiss 63 higher, the Yen 40 lower and the Pound 16 higher at 1.6479. If you went short the Pound above the 1.6600 level over the last few days, either take the short term profit or use a buy stop 50 points below your entry level. The Sept. Dollar index is currently 46 lower at 79.965.

Financials: Bonds are currently 22 lower at 117'21, the 10 Yr. Notes 11 lower, the 5 Yr. Notes 2 lower and the 2 Yr. Notes about unchanged. Dec. Eurodollars are 4 higher at 99.135. We remain short the Dec. Eurodollars and Sept. Bonds. As a recap, the original recommendation for these positions was to sell the Dec. Eurodollar in the 98.920 area and also to sell the Bonds above 117'04. Obviously these positions are currently at a loss. If the Bonds trade below 116'21 look for a place to take profits or use a protective buy stop at 119'08 if you want to stay in this position for the long haul.