Inflation is back with a vengeance. This week the BLS reported 6.2% inflation for the year ending October 2021. And, as Bloomberg noted, this is the highest inflation has been since 1990:
While this can be somewhat alarming, inflation from October 2019 to October 2020 was just 1.2%, so the two-year inflation is about 3.7% on an annualized basis. Yes, this is higher than it has been in recent years, but it is still nowhere near hyperinflation territory.
Nevertheless, the question on many investors’ minds right now is: how should I invest during higher inflation?
More here : Of Dollars and Data
PS Three things.
- Spoiler alert – gold is an ordinary hedge against inflation. That’s going to upset everyone on Linkedin
- The economy is not the market.
- To date there is only a single data point regarding the rise in inflation – one swallow does not make a spring.
