What type of yields remain attractive amid inflation uncertainty?

Current yields can remain attractive amid inflation uncertainty due to their link to income generated from investments. Current yield is calculated by taking the annual income (interest or dividends) from an investment and dividing it by its current market price. This measure provides a snapshot of the cash flow an investor can expect relative to the investment's current value, which is particularly valuable during inflationary periods.

When inflation is uncertain, investors may be more inclined to seek immediate income from their investments rather than relying solely on capital appreciation, which could be eroded by rising prices. Current yields allow investors to gauge how much income they're generating in real terms, providing a buffer against inflation. This income aspect makes them attractive, especially when fixed-rate bonds may be losing purchasing power due to inflation.

Nominal yields, zero-coupon yields, and pension yields do not focus as directly on the immediate income, making them less appealing in an inflationary context where cash flow can provide a more stable investment strategy.