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Slowdown on the horizon: Why does inflation make stock prices fall?

Inflation is defined as the rate of change in the prices of everything from a bar of Ivory soap to the costs of an eye exam

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Richard S Warr | The Conversation

Stock markets have been on a wild ride recently, plunging one day and then soaring the next.

Pundits have offered many reasons for the biggest stock market swoon in two years. One of the most frequently blamed culprits was the threat of inflation, which loosely means an increase in consumer prices over time.

That threat became a little more real after the latest data, released on Feb. 14, showed inflation in January rising more than expected, sending stocks and bonds lower.

What would prompt something so seemingly banal to send investors