IVOL News and Press, Quadratic Interest Rate Volatility and Inflation Hedge From 09/15/20

Mr. Market, our old friend, who is never meant to be wrong, says it is inflation. It’s tough to agree with Mr. Market because most of us spend all our time trying to beat the market and prove it wrong. However, anyone who has been through a few rounds trying to outsmart the market will ...

By Jill Mislinski The Bureau of Labor Statistics released the August Consumer Price Index data this morning (Sept. 11). The year-over-year non-seasonally adjusted Headline CPI came in at 1.31%, up from 0.99% the previous month. Year-over-year Core CPI (ex Food and Energy) came in at 1.74%,...

At some point in every investor’s life, return of capital becomes as important as return on capital. With the market nearing all-time highs driven by the so-called “Fed put” and massive fiscal stimulus in spite of broadly weak actual and expected earnings – and look...

Price moves in the yellow metal have largely been determined by weakness in the dollar this year, but the greenback alone can’t account for gold’s enduring attraction among investors. Plunging Treasury yields, recession fears and rising inflation expectations are also contributin...

By Kevin Flanagan While the headlines surrounding the August Employment Situation report seemed to focus on the moderating pace of new hiring activity, in my humble opinion, the bigger story was the sizable drop in the unemployment rate. The markets and headlines tend to focus more on no...

On August 27, the Federal Reserve released an important revision to its monetary policy strategy, replacing 2% price inflation targeting - initially adopted in 2012 - with a new approach in which the Fed will target an average inflation rate instead. To quote the Fed’s statement , ...

It has been a while since Ibbotson's Stocks, Bonds, Bills and Inflation ((SBBI)) data had been seen, since Morningstar bought Ibbotson's practice years ago and moved the SBBI in-house and stopped offering The Handbook to the investing public. The week, the SBBI data somehow wound up attached...

Following my last post on debt , I've thought a bit more, and received some very useful emails from colleagues. A central clarifying thought emerges. The main worry I have about US debt is the possibility of a debt crisis. I outlined that in my last post, and (thanks again to corresponden...

Market Finally Cracks Over the last few weeks, we have discussed that while the markets were continuing their seemingly " unstoppable" advance, there were many "technical extremes" reached. Here is the problem with watching media headlines rather than paying attention to what is happeni...

The Federal Reserve's adoption of an average inflation target pushed on a door in the foreign exchange market that was already open. The dollar had been trending lower since the end of March and, as of the end of August, was down against all the major currencies this year, save the New Zeala...