TBF

20+ Year Short Treasury Proshares

stocks

How Do Tariffs Impact Interest Rates?

Investors are well aware of the potential impact President Trump's tariffs could have on the economy.

However, almost everyone is overlooking how these new tariffs will impact the Federal Reserve's approach to managing interest rates.

You see, the Federal Reserve sets interest rates based on the current rate of inflation. And it's highly likely that the current rate of inflation will be directly impacted by the administration's new steel tariffs.

A higher rate of inflation will have a significant impact on the health of the stock market - and your portfolio...

Economic Data

Inflation Is Coming: Here's Your First Play

If you've been lulled to sleep by years of wonky Federal Reserve talking points about dangerously low to no inflation, you're about to get a rude awakening.

Inflation's back.

It's not headline news and, no, the Fed isn't running scared yet. But all that's about to change.

Strengthening U.S. GDP growth accompanied by newly enacted tax cuts, strong global growth, and record-high levels of consumer confidence, business confidence, and investor sentiment are driving equity markets higher along with prospects for rising inflation.

The Fed and central banks around the world want inflation, and they've done quite a bit to engineer it.

Here's the big picture and the position to add to your portfolio right away to play inflation's return...

Bonds

The Bond Market's Latest Turn Offers Us Double-Digit Upside

According to the Securities Industry and Financial Markets Association (SIFMA), in September 2016, an average of $722.6 billion in bonds traded every single day in the United States alone.

Nationally and globally, the bond market absolutely towers over the stock market – by nearly 35% worldwide and more than double in the United States.

Tens of millions of investors – especially retirement savers – own bonds, and conventional wisdom tells them to park between 50% and 60% of their wealth in those bonds. 

But… according to a survey by Wells Fargo and Gallup, a measly 22% of investors really understand how bonds work.

That's shocking, and I aim to do something about it. That way everyone will be able to participate in the bond market profit play I'll show you...