Markets encouraged by Geithner’s plan 3/23/9
Crude oil settled over $50 once again and moving up 35% in just the last month….. but we have no inflation! Brace your self for what is to come, we continue to advise clients to buy dips in crude, RBOB and natural gas. April postions may run out of time but being long May and June natural gas makes sense as we expect $5 in the near future. We advised clients to re-establish longs in the Loonie today, advisng exposure in both May and June. Additonally we were buyers of the June yen looking for a bounce to at least 106. We advised clients to lighten up on their SX9/SK9 spreads at break even. Get long via futures and options on setbacks in gold and silver. Contact us for more precise details. Coffee looks poised for the next leg up, we traded out of most of the May postions last week but are still holding the July 20 cent call spreads. We will be using the most recent setback in June hogs to get long. Look for the special lean hog report issued tomorrow 3/24. The equity market was up substantially on the new bank bailout. We would use this move to get out of remaining longs.
Tags: bail out, BOJ, call, carry trade, coffee, commodity, crude oil, diversification, energies, futures, geithner, gold, inflation, lean hogs, Loonie, loss, natural gas, options, put, RBOB, silver, spread trading, yen
