The AI trade has crushed everything in its path. Can it handle surging inflation?
Statele Unite
It's easy to forget now, but one of the main bull arguments for stocks heading into 2026 was the prospect of rate cuts . The idea was simple: Lower interest rates stimulate the economy, and effectively serve as rocket fuel for stocks. But as the year progressed — and especially after the US invaded Iran — rate cut hopes fell by the wayside. Inflation became too much of a worry. Yet stocks persisted with a series of record highs, driven instead by AI advancement that investors rushed to keep up
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