Mid Day Market Report

Gold and silver are setting new highs today while the soft commodities, sugar, cocoa, and coffee are solidly higher. Oil is tagging new record highs - now over $103 a barrel. Our long cotton position (78.83) is on fire as cotton has moved limit up this morning to 84.86. At $500 per cent this position is now up $3000 in just 3 trading days. Market indexes are weak but they have bounced off lows this morning after better than expected ISM Manufacturing Index numbers. Currencies although generally higher on the day have pulled back mid morning after an early day bullish surge. We look for continued US$ weakness this afternoon.