re: #325 Last Mohican

Okay, so when inflation gets out of control, the Fed normally starts raising interest rates, right? And that suggests that maybe I should put what’s left of my money into bonds. Or even just a money market account, if we’re going to get really astronomical interest rates.

Whoa there!

Inflation is going to jump through the roof here, it has to. When that happens, the market value of fixed income instruments like bonds and treasuries are going to plummet through the floor. Unless you plan on holding those bonds to maturity, be very careful tying up a lot of your savings in bonds or treasuries.

I’d go with short term CD’s that are FDIC insured and ride the intererst rate wave up.