RBA cut 25 points to 3.0% 4/7/9
If any one is keeping score the BOJ no cut, RBA 25 basis point cut with the BoE meeting on Thursday where we expect nada. Crude was down 5% today and without a bullish inventory report tomorrow prices look poised to revisit $45. Asssuming the H/L ytd a 61.8% Fibonacci retracement in May is $45.40. Natural gas was down 4% and we are getting frustrated trying to catch this falling knife. The cure for low prices appears to be lower prices but when is low too low. In order for us to assume a reversal you need consecutive closes above the 20 day moving average; currently at 3.96. The Euro was lower today still looking for 1.30, the Loonie was higher still looking for 84. July oats is a buy at these levels but with the entire grain complex falling apart give the market 24-48 hours. Bear in mind USDA report out Thursday. We maintain that corn, beans and bean oil should be bought on this dip; stay tuned for order placement. Silver and gold were marginally higher, we are advising clients to be buyers with futures and options; June gold futures and August $100 call spreads silver July futures and September $2.50 call spreads. Sugar#11 is a buy. Coffee is 3 -4 cents from our profit objective in July. Are you long June hogs yet? We are looking for feedback to see if any clients got short the S&P as suggested..target 755.
Tags: bean oil, BOJ, central banks, coffee, commodity, corn, crude oil, doe, euro, Fibonacci, futures, gold, interest rates, Loonie, matthew bradbard, MB Wealth, natural gas, oats, options, RBA, silver, sugar, USDA
