Cathie Wood, founder of Ark Investment Management LLC, is on Twitter.The deflationary force will overcome the price pressure on the world economy caused by the supply chain, China said.
"three sources of deflation will overcome supply chain-induced inflation, which has wreaked havoc on the global economy," Wood said on Monday. She's replying to Twitter on October 23rd.Inc. CEO Jack Dorsey said in a post that Dorsey said hyperinflation "will change everything" and is "happening."
The three sources of deflation mentioned by Wood are: the impact of technological advances such as artificial intelligence; creative destruction caused by disruptive innovations that drive down the prices of obsolete goods; and cyclical factors brought about by the epidemic, companies increase orders to meet resurgent demand, which will eventually lead to oversupply and falling prices at the end of the holiday season.
Prolonged supply chain chaos is triggering inflation expectations and market turmoil. The rise in US bond yields has raised questions about whether technology investments are overvalued. Ark Innovation ETF is down 25 per cent from its February peak.