Breaking Records 📈

Breaking Records

Since the summer, inflation has been rampant as American consumers began to spend more freely. The release of pent-up consumer demand combined with trillions in stimulus spending has investors on edge for months as they expect prices to rise. Other factors such as the Fed’s increasing interest rates have compounded this rise in inflation. As of January 2022, inflation rates have broken new records – reaching their highest point since the 1980s. Indeed, the consumer price index (CPI) rose at a 7% percent year-on-year pace last month, a jump from the 6.8% seen in November and the most significant jump since June 1982. To address some of the inflation concerns, the White House has attempted to make moves in areas of the economy they can somewhat control. For example, reducing bottlenecks at important ports, cracking down on anti-competitive behavior, and promoting oil production globally to lower gas prices are all viable options pursued.

 Despite this, some inflation-fighting strategies are untouched, such as removing tariffs on Chinese imports. So, what’s facilitating all this inflation? According to recent data, it appears that used vehicles and shelter costs are some of the most significant contributors to inflation. Used car prices continued to fly higher, increasing 3.5 percent from the previous month and almost 40 percent from a year ago. To counter inflation many investors, expand the diversification of their portfolios, including investments like rare earth metals, bonds, and even REITs. How do you plan to approach inflation in your portfolio?

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:
More Posts
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.