Inflation is going to annihilate the stock market.
The reason, in fact the BIG reason, that stocks have been soaring since November 2016 is because of the coming inflationary storm. Stocks LOVE inflation at first as it results in asset prices rising.
However, stocks absolutely HATE inflation once it starts eating into profit margins. When this happens, companies begin to lose money as higher operating costs eat into their profits.
On that note, take a look at the following chart of corporate profits pre-tax.
What you are looking at, is an “end of cycle” situation in which corporate profits begin to roll over in a bit way.
Why are corporate profits rolling over?
Profit margins are shrinking as inflation begins eating away at profits. And this is just the beginning.
What happens when inflation REALLY starts to bite into stocks?
Put simply, BIG INFLATION is the THE BIG MONEY trend today. And smart investors will use it to generate literal fortunes.
We just published a Special Investment Report concerning FIVE secret investments you can use to make inflation pay ou as it rips through the financial system in the months ahead
The report is titled Survive the Inflationary Storm. And it explains in very simply terms how to make inflation PAY YOU.
We are making just 100 copies available to the public.
To pick up yours, swing by:
Best Regards
Graham Summers
Chief Market Strategist
Phoenix Capital Research
via http://ift.tt/2yr3aGb Phoenix Capital Research