Inflation

 

 

Inflation  – Inflation occurs when the level of prices for goods and services are rising. When inflation rate is on the rise, buying power is diminishing because you have to have more money in order to buy the same goods or services that you use customarily.

When inflation is on the rise, the buying power of consumers diminishes and as a result will slow the economy down and that will have a direct impact in the equity market.

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