Cathie Wood, founder of ARK Invest, has highlighted that U.S. consumer price inflation has decreased to 0.86% year-on-year, according to Truflation data. According to Odaily, this figure is significantly lower than the 2% to 3% range maintained over the past two years. Wood suggests that inflation could further decline or even turn negative, a view that contrasts with forecasts from BlackRock and PIMCO.
Wood also noted that while the U.S. Dollar Index (DXY) has recently seen some adjustments, it has not experienced a collapse. She believes that if the current administration's policies enhance the return on invested capital (ROIC) in the U.S. compared to other global regions, the dollar might replicate the strong upward trend seen during the 'Reaganomics' era of the 1980s.