IVOL News and Press, Quadratic Interest Rate Volatility and Inflation Hedge From 07/16/21

designer491/iStock via Getty Images With investors warry about rising inflation levels, it’s no surprise that Treasury inflation protection exchange traded funds are at 52-week highs. The annual inflation rate in the United States once again picked up steam in June of 2021 to 5.4%, up ...

One of the biggest challenges an investor faces right now is what to do with the US stock market. It is expensive, but the US government and the Fed seem willing to do anything to keep the market from crashing. What has previously happened to the US stock market when US inflation ...

Editors' Note: This is the transcript version of the podcast we posted last Tuesday. Please note that due to time and audio constraints, transcription may not be perfect. We encourage you to listen to the podcast, embedded below, if you need any clarification. We hope you enjoy! Aaron Task: I...

Without a “bad” Treasury auction, there was no stopping the bond market on Wednesday from retracing all of the previous day’s selloff and then some. This despite the huge CPI estimates released before the prior session’s trading, and now PPI figures that are eq...

The Fed has to take away the punch bowl, as part of its mandate is to control inflation. When it does this, there is a recession. People think the Fed can keep the same easy money policy for the next two years. Inflation would be way too high if they do that. However, this time, i...

It should have always been clear to everyone that this restart from a global economic lockdown was never going to a V-shaped recovery! That belief was delusional. The current problems are not going to vanish when the government ends extended unemployment benefits. They are part of the...

On average, stocks in “value” funds have materially lower price/earnings ratios than “growth” funds, the justification for the latter’s higher P/E being that they produce higher earnings. They also appear to be more predictable. Most of the US and mu...

Ten-year government bond yields mostly fell in June, with those for Australia dropping by more than 16 basis points to 1.48%. The second biggest move came from the U.S. 10-year Treasury mid-yield, which ended June nearly 15 basis points lower at 1.44%, its lowest level since early Mar...

This market has been like a roller coaster since Memorial Day. The sector rotation has been the biggest churn. The biggest concern at the moment for longer-term investors, and in particular retirees, is the possibility of higher inflation on the horizon. The housing market, the jo...

Having brushed off hyper-inflation rants in prior years, I started giving inflation a lot of coverage in the last year because I believed inflation was likely to become the driver in our economic malaise in the months ahead. High inflation is a taskmaster that will not be ignored, not...