Warning Sign for Stocks Seen in Surging Inflation Expectations

Soaring inflation expectations are a warning sign for investors who have bought into the ceasefire-fueled rebound in stocks over the past few trading sessions, say some Wall Street market-watchers.

The S&P 500 Index climbed on Monday and has now erased all of its declines since the Iran war began. That’s even as oil prices remain close to the highest level since 2022 and with the US blockade of Iranian ports threatening to tighten global markets further.