If inflation returns, central banks can’t cut interest rates like everyone expected. In fact, they may have to keep rates high or even raise them again. Higher interest rates mean higher mortgage rates, and that quickly kills housing demand because fewer people can afford monthly payments. At the same time, global markets are already showing stress, with trillions wiped from stocks and sharp drops across several countries. When markets crash, layoffs usually follow in sectors like tech, finance, real estate, and construction.