Financials: Bonds are currently 10 lower at 121’15, the 10 Yr. Notes 7 lower, the 5 Yr. Notes 3 lower and the 2 Yr. Notes 1 lower at 108’25. The Dec. Eurodollars are 3 higher at 99.100. We remain short the 2 Yr. Notes and the Dec. Eurodollars. Bonds are approaching long term support just below the 120’00 level. If Bonds trade below the 120’15 level I will be looking to once again trade from the long side by buying futures with a protective sell stop at 119’13.
S&P's: June S&P’s are currently unchanged at 907.00. Support for the near term is currently 891.00 and resistance 918.00. I once again prefer the short side of the market and will be a seller between 914.00 and 918.00 levels if the market allows.
Grains: Yesterday Beans were 16 cents higher, Corn 4 higher and Wheat 13 higher. Over night Beans were 14 higher, Corn 4 higher and Wheat 3 higher. I am impressed by the markets ability to “shake off” Sunday night’s lower markets and close higher yesterday. We remain long out of the money calls and/or call spreads in July Corn. If July Corn trades above 455’0 in the weeks to come I will be looking to take profits on these calls. I am not yet ready to jump back into Wheat and Beans but will be look at sharp breaks as buying opportunities.
Cattle: Yesterday Live Cattle closed 15-60 higher with the Aug. contract closing 60 higher at 83.12. Over night the market is up about 25 points. I want to be a buyer if the market trades below 82.30 or on a buy stop above the 84.10 level on the Aug. contract.
Silver: July Silver is currently 12 cents higher at 13.95. I continue to remain on the sidelines and will be a cautious buyer below the 13.60 level. Resistance remains at the 14.40 level.
Currencies: As of this writing the Euro is 34 higher at 1.3567, the Swiss unchanged, the Yen 44 higher and the Pound 116 higher at 1.5433. If you remain short the Pound and did not use an open buy stop at 1.5450 I recommend using an open (good till canceled) buy stop at the 1.5470 level. The June Dollar Index is currently 31 lower at 82.445. We remain long this market with a protective sell stop at the 81.65 level.