Inflation And Stagflation Blindness

One of our core ten predictions for 2022 – The Year To Look Up was that stagflation would increase as inflation remained high even as assets fell in price. This inflation prediction is now a reality and indeed its relation to the equity markets has been correct. Thus both predictions came true in spades as Global Forecaster went against the accepted collective perspective that at the time thought that inflation was only transitory and not structural, as we argued. Our prediction was as follows: Whilst input inflation from commodity prices will fall with demand, the increased sup...