Jun
24
Buy TIPS Amid Risk Inflation Will Outpace Fed Target, Pimco Says
ByInvestors should buy bonds that protect against inflation amid the risk consumer-price gains will exceed the Federal Reserve’s target, according to Pacific Investment Management Co.
While Pimco’s main scenario is for global inflation to only increase gradually, the chance it will exceed central banks’ targets is much greater than that of deflation, Mihir Worah, who helps manage the company’s $107.3 billion Total Return Fund wrote in a note. That’s particularly true in the U.S., where accelerating price gains are a “very real possibility,” he said…
Buy TIPS Amid Risk Inflation Will Outpace Fed Target, Pimco Says
