Research Affiliates' Masturzo on inflation: '3% is the new 2%'

Описание: Jim Masturzo, chief investment officer at Research Affiliates (https://researchaffiliates.com) , says that "Volatility is just a reaction to something new, and something that has changed," which is why investors can expect a volatile market as it works through the start of the war in Iran. That said, he is not expecting the war to change much, other than increasing volatility, provided it does not last for a long stretch of time. Masturzo does think that current events (https://researchaffiliates.com/public...) will contribute to higher inflation, but he says that — whether the Federal Reserve likes it or not — a 3% inflation rate has become the norm and is likely to remain that way, in large part because the economy has shown that it can push through that level of inflation and continue growing.


Vijay Marolia (https://vijaymarolia.com) , chief investment officer at Regal Point Capital (https://regalpointcapital.com) , also digs in on inflation in "The Week That Is," noting that the upcoming inflation numbers will be the financial story of the week ahead, but also potentially for many consumers' financial lifetime, noting that if higher inflation becomes the norm, it dramatically changes the math for building a retirement-savings nestegg that can overcome longevity and purchasing-power risk. Marolia also discusses the early impacts of war in Iran on the market and how he expects it to play out in oil prices, as well as his sense on what's next for the Space X merger.


David Trainer, president at New Constructs (https://newconstructs.com) , takes a victory lap on some Danger Zone picks that have paid off, but where he believes there is significantly more trouble to come. It's a rogue's gallery of names like Affirm and Snap that all have fallen by at least 25% in 2026 and much further than that since their 52-week highs; Trainer notes that these stocks, and several others that he discusses, may look like bargains now that they have been beaten down, but warns that investors who buy now could be catching proverbial falling knives. Further, he says, there is no need to chase big losers in hopes of catching a turnaround.