Stagflation Is Worrying Forecasters. What Investors Should Do.

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Get ready for stagflation light.

Headlines about stagflation are everywhere, and the “flation” part of the equation is pretty obvious. February’s consumer price index arrived this past week, and it was as bad as expected. The CPI rose 7.9%, up from 7.5% in January, while core CPI, which strips out food and energy, rose 6.4%, up from 6%. And the University of Michigan Index of Consumer Sentiment pointed to the highest inflation expectations since 1981.