" Inflation is running hot, hot, hot in the U.S. and practically everywhere else, too. Meanwhile, hedges which investors had counted on for protection — real estate, gold and Treasury inflation-protected securities— aren’t doing nearly as well as one may have thought they would."
"Reasons vary for why those hedges have underperformed. In the case of TIPS, which see higher prices and coupon payments when inflation rises, “other factors matter too,” according to Juan de la Hoz of the CEF/ETF Income Laboratory newsletter on Seeking Alpha: Investors have been selling bonds “in anticipation of higher interest, and TIPs have not been spared,” he wrote in an online post in May.
With regard to gold, Wells Fargo’s head of real asset strategy John LaForge put the blame this week on the surging U.S. dollar."