Financials: Sept. Bonds are currently 1 lower at 116'02, the 10 Yr. Notes 1 higher at 115'18, the 5 Yr. Notes unchanged at 114'15 and the 2 Yr. Notes unchanged at 108'02. Dec. Eurodollars are unchanged at 99.250. We remain short Dec. Eurodollars. Bonds traded as low as 115'23.5 earlier this morning testing support just below the 115'28 level. As mentioned yesterday morning, my near term downside objectives have been met for this market. Treat as a trading market between 115'28 and 118'14.
Grains: Yesterday Nov. Beans were 13 cents higher, Dec. Corn 8 lower and Dec. Wheat 13 lower. Over night Beans were 12 lower, Corn 3 lower and Wheat 5 lower. We have rolled our long Dec. 360 calls to higher strike prices and/or spread them off with a sale of a higher strike price (400'0 or higher). Near term support and resistance for Dec. Corn is current 343'0 to 374'0. Weather will be the predominating factor for the next few days. If temperatures in the Midwest are going to be as hot as expected with little or no precipitation there could be some upside pressure on prices. Near term support and resistance for Nov. Beans remains at 980'0 to 1060'0.
Cattle: Yesterday Live Cattle closed 5 lower to 10 higher depending on the contract month. The close was well off the lows established early in the session. My recommended sell stops were hit on both the Aug. and Oct. contracts taking us out of recent long positions leaving us on the sidelines.
Silver: Sept. Silver is currently 20 cents higher at 14.97. If you remain long either take profits or raise your sell stop to the 14.30 level. A close above 15.09 could indicate higher prices. If you are holding multiple contracts I recommend taking partial profits.
S&P's: Sept. S&P's are currently 4.00 higher at 1004.75. I continue to remain on the sidelines. Near term support is currently 984.00 and resistance 1008.00.
Currencies: As of this writing the Sept. Euro is 43 lower at 1.4387, the Swiss 33 lower at 94.00, the Yen 76 lower at 1.0460 and the Pound 164 lower 1.6854. I continue to recommend being long out of the money puts and/or put spreads in the Yen. I also continue to recommend being short the Pound. The Sept. Dollar Index is 33 higher at 77.935. I feel that the Dollar is in support at least for the near term.