Below is a brief excerpt transcribed from Wednesday's edition of The Macro Show hosted by CEO Keith McCullough and Director of Research Daryl Jones.
I'm circling June because that’s when Hedgeye Nation went long the most underweight asset allocation out there – Commodities.
And when you're making an asset allocation call for Commodities, Energy (XLE) stocks are the most valuable sector to buy. The S&P 500 was flat yesterday but Energy Stocks were up +3.5%; they’re already up +15% for the year! And it’s only January 13th! That’s in sharp contrast to our Utilities (XLU) short, which is already down -2% in January.
A tremendous amount of alpha is being generated across the board.
Take a look at Corn (CORN) – that's one hell of a move. We went long in June, it broke out after August, and it’s gone vertical here in the new year.
You'd have to be a certified idiot (that's a technical term) to not notice inflation is accelerating and bond yields are breaking higher. C'mon man, take a look at the 10-year bond yield. These are not guesses.
I saw some Old Wall guy reiterating that his year-end target for the 10-year yield is 0.75%.
Go back to bed dude.