Peak inflation is usually also the stock market low

Peak inflation is usually also the stock market low

S&P 500 SP:SPX


Looking back into history 1 indicator that was extremly accurate in predicting stock market lows was the inflation rate. In times of very high inflation the stock market low was in once we saw inflation going back again. So a good indicator to time your investments into risk on assets such as stock & cryptocurrencies would be to wait until we see the inflation rate coming down from the current levels. Always remember that the stock markets are front running the economy, so even if the world might end up in a recession for a while the stocks markets can already start rising again.

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