Bear Market Blues; Bell Bottom Blues

In a scene reminiscent of the 1970s stagflation era, commodities are ruling the roost while former growth leaders (not unlike the "Nifty Fifty" of that time period) disappoint hopeful dip-buyers. 

As we speak this morning, most commodities are on full display, be it crude, wheat and corn, palladium, and now gold and silver. I went long silver earlier and am probing to see if the move above the SLV ETF 200-day moving average has legs. 

In addition, I am stalking coffee and natural gas as fresh longs, as both commodities are looking like fairly calm pullbacks after their prior advances. 

While it is easy to dismiss most of these moves as mere "Russia things," I have my doubts that they are simply news headline beneficiaries. Instead, I view them as emerging secular winners in a new era where The Fed is effectively trapped between fighting a growing inflation problem and not being able to step in with their usual dovish words and tactics to stave off slowing economic growth. 

As for the indices, they are mired in a sloppy sideways range since last Thursday's lows. QQQ is actually holding up well so far today, while the Dow leads lower. Still, in front of Powell's testimony this week we have some clear and obvious pressure on the Fed Chair regarding inflation as commodities run wild.