Investors pull $30 billion out of Pimco as inflation fears bite

Investors pulled 29 billion euros ($29.6 billion) from bond giant Pimco in the second quarter, its parent Allianz SE ALV, -1.57% said on Friday, highlighting nervousness in the fixed income sector as inflation rages and central banks hike interest rates. Revealing its results, the German insurance group said overall third-party assets under management dipped by … Read more

5 things we’ve learned from earnings season so far: How big an impact is inflation having?

More than 80% of the S&P 500 index’s companies have reported second-quarter results so far, and at least five key takeaways have emerged — including that Wall Street was far more worried about the coming earnings season than it needed to be. That doesn’t mean investors were wrong; the numbers and management commentary have confirmed … Read more

Financial markets may see three-month string of 8.8% inflation readings starting next week, adding up to `bad news’

The financial market’s most knowledgeable inflation traders are expecting a string of roughly 8.8% annual headline US consumer-price readings over the next three months, starting with the Aug. 10 release of July’s dates. While such readings would be below June’s 9.1% reading and support the theory that inflation may have peaked at an almost 41-year … Read more

Why China-Taiwan tensions moved to the forefront of financial market worries

It’s an island off the coast of China, with a land area comparable to Maryland and Delaware combined. Its population is about 1 million higher than that of Florida. Often overlooked in world headlines, Taiwan is grabbing the financial market’s attention as the biggest macro risk of the day, prompting many traders and investors to … Read more

12 ways to adjust your vacation for inflation

It’s still summer, and if you plan to travel soon, be prepared to see inflation at nearly every step along the way. According to a May NerdWallet survey, nearly 7 in 10 Americans planned to travel between Memorial Day and Labor Day, and among them, 81% said inflation would impact their plans. This number spiked … Read more

Investors are obsessed with size of Fed’s next rate hike. Here’s what they’re missing.

Debate has been simmering over whether Federal Reserve policy makers will raise the fed-funds rate by three-quarters of a percentage point later this month, as they did in June, or step up their inflation-fighting campaign with a full point hike —- something that hasn’t been seen in the past 40 years. Friday’s economic data, which … Read more

‘Inflation is going to be stickier than most people imagine’: Inside the obscure market where traders have mostly been right about price increases.

Inflation trader Gang Hu of WinShore Capital Partners in New York is shown. Source: WinShore Capital Partners For the past 20 years, Gang Hu has traded Treasury inflation protected securities and related derivatives instruments, working for big firms like PIMCO and Barclays before starting his own New York hedge fund, WinShore Capital Partners. During most … Read more

Dividend stocks are a top inflation-fighting investment you want in your corner now

Investors are too quick to shun dividend-paying stocks when inflation worsens. That’s because they’re focusing on too short of a time horizon. When measured over at least several years, dividends historically have done an admirable job of keeping up with inflation. To illustrate how the short term can lead you astray here, contrast the Dow … Read more