Financials: Bonds are currently 11 higher at 115'28, the 10 Yr. Notes 5 higher, the 5 Yr. Notes 2 higher and the 2 Yr. Notes about 1 higher. Dec. Eurodollars are unchanged at 99.275. Since Friday's market report we were stopped out of a short term long position in the Sept. Bonds when the market traded below the 115'10 level. The market now seems to have found some support at yesterday's low of 114'30. Resistance is currently 116'24. Treat as a trading market between support and resistance. To be honest I still prefer the long side of the market.
Grains: Yesterday Nov. Beans were 8 cents lower, Dec. Corn 6 higher and Dec. Wheat 4 higher. Over night Beans were about 12 higher, Corn fractionally higher and Wheat 2 higher. If you remain long Dec. Corn from below the 320'0 level, either take profits or use a protective sell stop at 324'0. If the market trades above the 341'0 level raise your stop to 329'0.
Cattle: Yesterday Live Cattle closed 17-45 higher with the Aug. contract closing at 84.70 and Oct. at 90.20. As of this writing the electronically traded cattle are about 30 higher over night. We remain long with a protective sell stop 175 points below entry level. If by 11:00 a.m. (Central time) the market remains at least 25 points higher, raise your sell stop in Aug. to 83.75 and Oct. to 89.40.
Silver: Sept. Silver is currently 1 cent higher at 14.00. This market has finally generated a buy signal with consecutive closes above the 13.80 level. I am a buyer on breaks, preferably around the 13.80 level.
S&P's: Sept. S&P's are currently 5.00 lower at 975.00. To be honest this market has not treated us to well lately. We were once again stopped out with a small loss from a recent short position when our buy stop was penetrated at 982.00 early Monday morning. I still prefer the short side on rallies. Treat as a trading market between 959.00 and 982.00.
Currencies: As of this writing the Sept. Euro is 12 lower at 1.4232, the Swiss unchanged at 93.53, the Yen 58 higher at 1.0565 and the Pound 7 lower at 1.6490. I am still recommending being long out of the money puts and or put spreads in the Yen. My near term downside objective for the Sept. Yen futures is the 1.0300 area. I still like the short side of the Pound above the 1.6600 level. The Sept. Dollar Index is trading at 78.735 down 2 ticks. Look for support in the 78.000 area for this market.