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Inflation-Cagematch: Guggenheim Battles Bridgewater Over Bond Moves From Here

having priced in a dramatic rebound in inflation in coming months on the back of anticipated surges in spending, the market may be disappointed as the fiscal liquidity trap proves to have a far stronger gravity than most pundits and politicians expect. It would also mean that inflation - after an initial burst higher in mid-2021 - will collapse, and is why BofA expects that year-end core CPI will be just 1.7% as the upcoming June CPI spike fades. Here are some other reasons why Woodard believes that the market is in for a major disinflationary shock in the second half of 2021.

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