Cathie Wood: Inventory Issues Suggest Inflation Will Ebb

The video discusses the rise of the Innovation ETF by 2.7% and questions the current inflation narrative. It highlights the prolonged supply chain issues and geopolitical tensions like Russia's invasion of Ukraine as factors influencing inflation. The speaker argues that deflation poses a greater risk than inflation, both cyclically and over the long term. The discussion also covers how technological advancements, such as electric vehicles and autonomous mobility, contribute to deflationary trends in the economy by converging on deflationary cost curves.

What are the implications of the current monetary and fiscal policies on inflation?

Explain the relationship between technology and deflation as discussed in the text.