Clearly, inflation fear has helped create some market chop following the near 10% S&P 500 (SPX) rally off the early October low.  While many are asking about the transitory nature of inflation and recent rise in U.S. Treasury rates, we believe the right discussion topic is how to identify when the increased fear of inflation is affecting money availability and financial conditions.  Restrictive monetary policy and tightening financial conditions lead to significant and sustainable periods of weak economic and market activity, but thus far, the opposite remains true:

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