Stagflation fears rattle US markets ahead of key inflation data

Published On Mar 10, 2025, 12:56 PM

Investors are growing increasingly concerned about potential stagflation in the U.S. economy, characterized by stagnant growth, persistent inflation, and rising unemployment. Wall Street analysts from major banks are revising down their GDP growth forecasts while increasing their inflation expectations due to restrictive trade policies. Recent economic indicators show mixed signals, complicating the outlook. As inflation remains stubbornly high and employment data shows fluctuations, concerns about a stagflation scenario could lead to increased market volatility in the near future, particularly leading up to key upcoming inflation reports.