The Nemenoff Report

1/23/2020

Financials: Mar. Bonds are currently 0’17 higher at 159’11, 10 Yr. Notes 0’05 higher at 129’22.5 and 5 Yr. Notes 0’02.25 higher at 119’06.00. These figures put these treasuries 22 higher,9 and 4.5 higher respectively for the last week and above last weeks’ resistance levels. All things considered I’m tempering my negative bias inv the fear that we might see another round of “competitive rate cutting” vas Europe, Australia and emerging markets dangerously, in my opinion, flirt with the notion of further negative rates as a way of stimulating some upside inflation. Ergo, I’m treating these markets as a trading affair.

Grains: Mar. Corn is 0’4 lower at 388’2, Beans 5’2 lower at 908’4 and Wheat flat at 577’6. Corn is higher for the week but failed to close above the 392’ resistance level, a level needed to turn the trend toward higher prices. I still do not know the projected effects the Phase One Trade deal will have on agricultural products in the near future. All that being said, I’m a buyer in Corn on a sharp break.

Cattle: Live and Feeder Cattle are lower for the week. I still have a negative bias 9n April LC and am lowering resistance to the 128.40 area from last weeks 129.00 level. Support remains at 124.50.

Silver: Mar. Silver is 10 cents lower overnight and 28 cents lower for the week at 17.725. I remain long.

S&P’s: Mar. S&P’s are currently 4.50 lower at 3315.25, up about 11.00 for the week and about 23.00 below the recently made all time highs. Treat as a trading affair and use protective stops!

Currencies: As of this writing the Mar. Euro is 6.5 ticks lower at 1.11230, the Yen 25 higher at 0.91510, the Pound 12 lower at 1.3145 and the Dollar Index5 lower at 97.250. I still like the long side of the Euro and Pound and negative the Dollar Index.

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