The Silence of the Anchovies

Early in the year, we pointed to a cluster of symptoms that we would be looking for to point to a Summer of "Buying corn and selling Bonds" ala 1988. The 1st was Maverick's Big Wave Surf in California, check. The 2nd was a wet "West Coast Swing" to the PGA Tour, marginal. Third, a weak Peruvian anchovy harvest, CHECK, so dynamic that the event is now the subject of a brokerage firm commercial. Fourth, a wet Mid-West Spring. Confirmed with rainfall totals averaging 10 inches above normal from a 2 inch deficit last year.

Finally, we would like to direct your attention to the USA heat map for this weekend. This is the first sign of an "Omega Block"(stationary fronts that hold hot dry weather in the country's belly visually a Greek Omega letter) we have encountered as the jet stream has normalized. Massive record highs have spiked  heat related incidents and record highs in the Western Heartlands. Bonds are already melting without inflationary group-think pressure. Things a hotting up.

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