How to Invest During these Inflationary Times—and with a Volatile Market, too! - Cabot Wealth Network

How to Invest During these Inflationary Times—and with a Volatile Market, too!

Get top strategies for investing today—when you read the June 2022 issue of our magazine, just released!

June 2022 CMC Magazine Cover-CMC_051822

The Dow Jones Industrial Average closed May 18 down 1,164.52 points. Rates are rising, and inflation is cutting into our discretionary funds. It’s disheartening, for sure, but don’t give up! There are ways to maximize your portfolio and minimize your risk during these uncertain times. Just read on for some ideas that will help you navigate these uncertain times.

Should We or Shouldn’t We … Bail Out of the Markets?

I wouldn’t blame you if you looked at the markets since February and thought, “why am I still hanging in there?” The following chart of the Dow Jones Industrial Average since the first of the year would surely weigh on any investor’s mind.

6-22 DJI

Add to that the specter of rising rates. As you can see in the following graph, the Fed Funds rate has increased from 0.08%in January to 1% today, pushing up mortgage rates to over 5%. And that won’t be the end of it. The Fed is expected to boost rates five more times before the end of the year: two half-point hikes and three quarter-point increases, bringing the federal funds interest rate to 2.5% by next January.

6-22interestrates

And then, we have inflation. Now more than 8%, inflation gurus expect the rate to decline to 6.3% by the end of this year, and fall to 3.0% by the close of 2023.

6-22 Inflation forecasts

But in the meantime, as stocks have retreated from their highs at the beginning of the year, investors are feeling the squeeze of falling portfolios. At the same time, rising rates and inflationary pressures are making the price of everyday items soar, as denoted in the chart below.

6-22 CPI

The result: a two-pronged sword with less money input from investing and more money output from rising expenses.

Read the feature article in this month’s magazine now to learn all about the best investing strategies in these times of inflation and a volatile market.

When you read this article, you discover:

Read this article now to learn all about investing in these inflationary and volatile-market times—and get everything else in this issue of our magazine, including:

This latest issue of our Magazine is ready for you to access now, to find out how to weather today’s inflationary times and volatile market … and much more.

Start reading all of the articles in this issue of our Magazine today!

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