Don't let inflation bite — how to hedge with TIPS, commodities and infrastructure funds

Inflation will be in the crosshairs Wednesday as investors digest the latest Consumer Price Index. The reading may be one more sign that inflation remains a problem that isn't going away. It's a tricky situation for investors looking for protection, but there are some good ways to get it. Treasury Inflation-Protected securities (TIPS) are one option with "real" yields now at multi-decade highs. Beyond TIPS, analysts suggest commodities, infrastructure, and other assets that can hedge against rising prices. While inflation is down sharply from its 9.1% peak in 2022 — a supply shock due to the Covid pandemic — it's still well above the Federal Reserve's 2% target. The headline Consumer Price Index is expected to hit 3.