u/Money_Goblin8869

▲ 8 r/TQQQ

Is moderate inflation beneficial for TQQQ?

What is the effect of a moderate level of inflation on the performance of TQQQ of a long period of time? In theory, if there is price inflation, that price inflation will be passed on in terms of higher prices for goods and services. So monetary price inflation should eventually be reflected in higher corporate
profits (in devalued dollars). I suspect that this type of inflation should be beneficial TQQQ over time, even though the price of swaps purchased by the sponsor of TQQQ are correlated to the price of short term Treasuries (I think).

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u/Money_Goblin8869 — 6 days ago