Chinafotopress

A tide of fear is sweeping financial markets: fear of inflation. Oil prices have doubled over the past three months, the US Treasury yield has surged by a third in one month, gold is nearing its record high again and agricultural commodities are all soaring. The rising prices are taking place amid weak demand. Inflation fears are driving the surge.

The market is getting it right this time. The US is targeting a 5%-plus inflation rate for the foreseeable future. It’s the only way to speed up relief for indebted American households. Inflation works well when debts are ......BR>Over the past 20 years, hundreds of billions of dollars have been poured into tech companies. The money has spawned many technologies to benefit mankind. But investors as a whole have not made money.

The same will happen to the stock market in general. A weak economy needs low-cost capital, preferably negative, to maximize employment. No one will put money into a sure loser. Volatility creates the possibility of winning. Nothing turns Homo sapiens into willing losers like chance.