Weekend readings: Inflation fear and opportunities for investors

US consumer price inflation hit a 40-year high of 7.5% in January. That pace far exceeds wage growth, and official numbers can mask even more pain, depending on family circumstances. Jeffry Bartash takes a detailed look at the inflation numbers.

More inflation hedge:

  • The average household spends $250 more a month, or $3,000 a year, due to high inflation — but middle-aged Americans are paying even more

  • Rising inflation ‘will drive up’ car and credit card debt, CFPB director Chopra warns

How will the stock market react when the Federal Reserve makes a big move?

The Federal Open Market Committee hinted last month that the Federal Reserve would begin raising short-term interest rates in March. Long-term interest rates have already started to rise as the central bank slowed its bond purchases, which will end in March. Rising rates generally put pressure on the stock market as a whole, as investors are attracted to other asset classes. The question now is how much of the rate increases have already been priced into equities?

Inflation opportunities for investors

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Michael Brush argues that whenever stocks fall sharply due to high inflation, investors have an opportunity to buy. He cites three examples of stocks to buy when inflation dips.

A period of strong economic growth, high inflation and demand for resources bodes well for oil prices. If you’re wondering how to approach oil stocks, here’s a deep dive into three exchange-traded funds that track the industry.

Surprise inflation for investors

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Mark Hulbert reflects on the performance of the stock market during previous periods of high inflation and rising interest rates. The results might surprise you.

Hulbert also argues that high inflation can benefit highly leveraged companies, including International Business Machines Corp. and Apple Inc.

Ivermectin, misinformation and the need for hard data

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Two years into the coronavirus pandemic, ivermectin, a drug commonly used to treat parasites in some people as well as livestock, remains a political lightning rod. Jaimy Lee takes an in-depth look at how misinformation within the medical community was so widely circulated, then uncovered and retracted. She is also considering rigorous studies that should finally answer the question of the effectiveness of ivermectin against Covid-19.

Read: “You won’t believe what I just found out. Inside the ivermectin saga: a hacked password, mysterious websites and faulty data.

Planning a move in retirement

A nature walk in Lee County, Florida.

COURTESY OF LEE COUNTY VISITORS AND CONVENTIONS BUREAU

Silvia Ascarelli writes the Where should I retire? column. This week, she’s helping a couple plan for the long term. They want to retire and rent somewhere near beaches, with a mild climate and easy access to an airport. Here are three possible destinations within their budget.

Try MarketWatch’s retirement locator tool for your own personalized research. It includes data for over 3,000 US counties and incorporates climate risk.

A bitcoin forecaster doubles down on a selection of stocks

Bitcoin reached its all-time high of $69,355 on November 10.

set of facts

Barbara Kollmeyer continues her conversation with forecaster Yves Lamoureux, who says he informed clients that bitcoin was approaching a high before the virtual currency hit a high of $68,355 on November 10. -futures game about investing and trading virtual currencies that Coinbase Global Inc.

An off-exchange investment

The beautiful thing about real estate is that it’s real. If the financial markets crash, you still own the property. If inflation is high, you may be able to raise the rent. This begs the question: is it worth renting a house and dealing with tenants, maintenance, repairs and other costs?

Jacob Passy writes The big move column and this week helps a reader decide whether to rent a house or sell it.

How TikTok took Facebook

MarketWatch photo illustration/iStockphoto


TikTok has grown very rapidly, with 78.7 million US users. Jurica Dujmovic explains how TikTok was able to pick up business with Instagram and Facebook, which are units of Meta Platforms Inc.

Estate planning — to care for a child who needs help after you leave

Quentin Fottrell — MarketWatch’s moneyist – helps a couple assess how to update a trust to ensure that one of their daughters, who is suffering from depression, will always be cared for.

Yum brands…

Spencer Platt/Getty Images


Investors love to see a business grow quickly. Shares of Yum Brands Inc. have more than doubled over the past year as the company, which franchises and operates KFC, Pizza Hut and Taco Bell chains, opened new restaurants at an incredible pace in 2021, such as the reports Tanya Garcia.

…and delicious insects

InnovaFeed uses a zero waste vertical breeding model to breed black soldier flies.

INNOVAFEED

As an alternative to fast food, maybe you’ll end up eating bugs.

For now, InnovaFeed is working with Archer-Daniels-Midland Co. to use proteins from black soldier flies in pet food. InnovaFeed also sees a large potential human market for insect proteins.

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Robert D. Coleman