Would You Please Pass the Jelly?

With the yield on the 10-Year Note currently competing with the average dividend yield of the S&P 500, non-extended consumer staple names like KHC MO PM seem to be more attractive by the day. 

In addition, Smucker, below on its monthly chart coiled as can be, is another attractive staple yielding more than 3% who just beat earnings and raised guidance just this morning. Note that the firm's brands encompass much more than just peanut butter and jelly.

From their website:

Our portfolio is well-positioned with several #1 brands as well as emerging, on-trend brands. Smucker’s® fruit spreads, Jif® peanut butter, Folgers® coffee and Milk-Bone® dog snacks each hold market leadership positions for their respective categories—while new favorites like Café Bustelo®, Smucker’s® Uncrustables® and Rachael Ray® Nutrish® continue to gain market share and meet shifting consumer needs.

Overall, SJM seems like another name which should at least initially benefit from rising rates. These firms also have astute ways of dealing with higher input costs (shrinking package size slightly for the same price) without creating an immediate burden on consumers. 

As for TLT, as it keeps sliding and rates plow higher, a reprieve seems likely. This morning's softness in equities is likely tied to both rising rates (TLT sliding) as well as the market cooling off after another exuberant reversal higher off the dip earlier this week.