For future inflation. It was relatively low between 2010 and 2020 and has been reducing at a fairly fast pace recently. It’s not obvious it won’t go back to the baseline.
I am just explaining how inflation influences p/e interpretation.
Everyone has their own model of what they think inflation will be in the future, which they use to judge PE and roi.
For future inflation. It was relatively low between 2010 and 2020 and has been reducing at a fairly fast pace recently. It’s not obvious it won’t go back to the baseline.