Cathie Wood, founder of ARK Invest, highlighted a significant drop in U.S. consumer price inflation to 0.86% year-over-year, according to Truflation data. This figure is notably below the 2%-3% range observed over the past two years. Wood suggests the possibility of further deflation, potentially turning negative, contrasting with forecasts from BlackRock and PIMCO.
Wood also commented on the U.S. Dollar Index (DXY), which has seen a recent pullback but not a collapse. She indicated that if the current administration's policies enhance the U.S.'s return on invested capital compared to other regions, the dollar could see a strong resurgence akin to the "Reaganomics" era of the 1980s.
Cathie Wood Predicts Potential Deflation as Inflation Falls to 0.86%
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