Investors are bracing for inflation: The US Treasury Inflation-Protected Securities (TIPS) ETF, TIP, attracted +$900 million of inflows in April, the largest monthly intake since December 2021. This marks only the 2nd monthly inflow over the last 5 months. Furthermore, global inflation-linked bonds are up +2% year-to-date, outperforming all 24 major fixed-income indexes tracked by Bloomberg. Previously, in March, Euro inflation-linked bond funds attracted +$588 million in inflows, the most since March 2022, posting a strong reversal after almost a year of withdrawals. This comes as investors believe the Iran War will leave a lasting inflationary impact on the global economy, regardless of where energy prices go from here. Global inflation fears are surging.(The Kobeissi Letter)