Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.
Q: What is it that the Canadians and Norwegians have that is super valuable during #InflationAccelerating in Global #Quad2?
A: Not Janet Yellen’s inflation narrative!
No matter what officialdom’s linear narrative is on INFLATION, being long of it continues to get Full Cycle Investors who have been long of Commodities, Energy Stocks (XLE +41.4% YTD), etc. paid:
A) CRB Commodities Index inflated +0.2% last week to +4.6% and +20.2% in the last 1 and 3 months
Those are some ABC’s. Let’s add a D) Lean Hog prices (bacon, Janet, think bacon) inflated another +3.7% last week taking their 1 and 3 month inflations to +7.7% and +25.5%, respectively.
I know, I know. I should stop cherry picking things like real world consumption items and use some nerdy Linear-Econ readings like “break-evens” and TIPS Yields, haha!