Why Did Stock Investors Fail to Anticipate the Inflationary Risk? Because They Had No Plan B.

Most had never been confronted with such inflation.

Since the gradual disappearance of inflation throughout the 1980s and 1990s, generations of investors have come to regard its eventual return as ever less likely.

Globalization, the disinflationary machine, and the central banks, masters of the markets since the financial crisis, seemed to be enough. The fight against deflationary risks and the maintenan…