As the coronavirus spreads fear, sickness, and death, a specter haunts investors – the specter of deflation.
Crashing Markets and the Threat of #Deflation Will Lead to the Next Great #Inflation https://t.co/zi6FpJspnh
— Money Metals Exchange LLC (@MoneyMetals) March 12, 2020
Crashing Markets and the Threat of Deflation Will Lead to the Next Great Inflation
Despite central bankers’ attempts to push inflation rates higher, equity and commodity markets are collapsing. Inflation expectations as reflected in tanking U.S. Treasury yields, meanwhile, appear headed toward zero – and perhaps even below.
“I think that we have a real danger of deflation in the economy right now,” former Trump economic advisor Stephen Moore told Fox Business’ Maria Bartiromo last weekend.
