The Death Of The Reflation Trade

Much has been made about the strong stock market rally since last November. A primary force driving higher stock prices has been what is known as the “reflation trade”, which is a bet by investors that expansionary monetary and fiscal policies will bring stronger economic growth and rising inflation. In fact, this reflation trade got its start more than a year ago dating back to the February 2016 lows. But following what has been a strong run since, the reflation trade is now slowly dying. And if this trend continues, it has important implications for stock investor positioning in the months ahead.

Please click on the link to read more on Seeking Alpha

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: