The inflation numbers this week were tame with the CPI coming in flat and PPI at a negative 0.6%. The fears of inflation that I have are non-existent throughout Wall Street and the focus remain on possible deflation in the event a double-dip recession occurs.
Either I am completely wrong or I am head of the curve on my inflation call for the years ahead, either way here are a few ETFs that will help protect your portfolio from inflation.
SPDR Gold ETF (NYSE: GLD) tracks the price of the gold futures and after surging to an all-time high in early December 2009 the yellow metal has been consolidating. The ETF has strong support at the $105 level and recently the action has begun to improve even as the US Dollar remains weak.
Claymore/Clear Global Timber ETF (NYSE: CUT) - One sector that is often ignored during the inflation discussion is land and timber. CUT is made up of a basket of timber companies that produce lumber, paper, and more importantly many own the land on which the trees grow. Owning land is a big plus during inflationary times.
iShares Barclays TIPS Bond ETF (NYSE: TIP) - Treasury Inflation-Protected Securities do just that, protect your bonds during inflationary periods. Along the way you can get a decent dividend, currently 3.8%, and not deal with the high volatility of an equity or commodity ETF.
Keep in mind once we are all talking about inflation it will be too late to buy the hedging ETFs. | 
