All things else constant, inflation should also inflate stock prices ultimately
All things else constant means neutral environment, we are not currently in that but assume inflation holds steady, fed holds steady, etc. then over time dividend yield would rise putting upward pressure on stocks. Eventually monetary policy will shift and these new higher prices should also work their way into stocks, the problem is we are still overpriced, so....How do you figure, considering what happened last year when inflation was rising and stocks were falling? Now inflation is falling and stocks are rising?
%%All things else constant, inflation should also inflate stock prices ultimately


%%Markets burn I'm long faz soxs uvix
When the market is done falling, some analysts say they will buy the secular leadership of the inflation cyclicals. What do they mean by that? Does anyone know?
%%Markets stopped falling in October and arguably June/July.


%%The fight the Fed rally - seems like the herd thinks a Fed pivot is going to send stocks to the moon, better think again.
View attachment 310993