How economic wars, pandemics, and worker shortages could lead to years of high structural inflation. What needs to happen to avoid this dire inflation scenario. Topics covered include: What are three inflation lessons shared by Federal Reserve Chair Jerome PowellWhat is inflation anchoringWhat caused the current period of high inflationHow China and Russia contributed to low inflation and why those trends have reversedHow behavior changes and productivity improvements can contribute to … [Read more...]
399 Plus: Student Loan Forgiveness and Inflation, Building a Bond Ladder, a New High Yield Savings Account Offering
In Plus episode 399, we introduce the new Money For the Rest of Us glossary. We consider whether the Biden Administration's move to cancel upwards of $600 billion in student loans will be inflationary. We discuss how to go about building a bond ladder. Finally, we analyze Save's new Market Savings Account. … [Read more...]
382: Is A Famine Next? Food Inflation, Food Riots, and Investing in Commodities and Other Real Things
Why food costs are soaring and what we can do about it. Why inflation rates could start to drop. Why commodity futures, including agriculture futures, have been lousy inflation hedges, and what has worked better. Topics covered include: Previous investment recommendations by Money For the Rest of Us to combat inflation Why commodity futures hedge against unexpected inflation but have underperformed inflation over the long-term A recommended ETF for investing in commodity … [Read more...]
378: Is Stagflation Coming?
Will the world experience both inflation and subpar economic growth at the same time? Topics covered include: What is inflation and what causes itWhat have been the largest contributors to recent high inflationWhy everyone does not experience inflation in the same wayWhy inflation measures are subjectiveWhat long-term deflationary forces face the global economyWhat is stagflation and what causes itHow do we monitor stagflation to see if it is coming Show Notes Consumer Price … [Read more...]
367: What Investment Strategies Do Best During High Inflation Periods?
How different asset classes and investment strategies have performed during periods of unexpectedly high inflation. While trend and momentum strategies have performed the best, what are some of the challenges with implementing those strategies. Topics covered include: What has led to today's high inflation environment and why it is uniqueHow current demographic and technology trends are disinflationaryHow many inflationary regimes have there been in the pastHow stocks, residential … [Read more...]
366: Is There A Global Energy Crisis?
With oil, natural gas, coal, and gasoline at the highest prices in eight years, we consider if there is an energy crisis due to an over-reliance on renewable energy sources. Topics covered include: How high have prices risen for oil, gasoline, natural gas, and coalWhy rising energy prices is a multifaceted problem as illustrated by coalHow the global energy mix has changed for power productionWhy investment capital is flowing to renewable energy projects rather than fossil fuel … [Read more...]
361 Plus: Closed-End Fund Tender Offers and Asset Class Returns During High Inflation Environments
In Plus Episode 361, we review the proxy battle that has led to a tender offer by Templeton Global Income Fund (GIM) to purchase up to 70% of its outstanding shares. We consider whether now is the time to sell the fund. We also review two studies on how different asset classes and investment strategies performed during periods of high inflation. … [Read more...]
359: Why Are There So Many Shortages?
What is causing the shortage of goods and workers? What should we do about it? Topics covered include: How a tree pandemic killed billions of American Chestnut treesHow a massive increase in demand has crippled the global supply, leading to an eight-fold increase in shipping costsWhy there are so many job openings and people quitting their jobsWhy the free market doesn't work as well for child daycareHow stimulus payments during the pandemic reduced poverty ratesWhat is the lying flat … [Read more...]
342: Is Another Great Inflation Coming?
How today's inflationary environment is similar and different from the great inflation of the 1970s. What are the best assets to protect your portfolio if the next great inflation is here. Topics covered include: How is inflation measured and why the pandemic made calculating inflation difficult What causes inflation Why is inflation increasing currently What caused the great inflation of the 1970s Which assets are best to own to protect against inflation Show … [Read more...]
338: The National Debt, Inflation, and the U.S. Dollar—What Could Go Wrong?
With a ballooning U.S. federal budget deficit, a growing national debt, and double digit increases in the money supply, is it time to bet against the dollar? Topics covered include: What is driving the double-digit increases in U.S. home prices Why hasn't inflation spiked in line with rising home prices What is the velocity of money and why is it falling What are three schools of thought regarding what causes inflation What is the average interest rate and maturity … [Read more...]
