Cathie Wood Warns of Deflation Risk Despite Fed's Inflation Focus

Cathie Wood believes the Fed's interest rate hikes have led to falling commodity prices and deflationary levels in the economy.

Wood argues that deflation, not inflation, should be the primary economic concern right now.

Deflation can negatively impact consumer spending habits and business revenues if prices fall too rapidly.

Wood suggests that AI and automation could result in efficiencies that drive prices down significantly.

The author disagrees with Wood's deflation warnings and believes investors should focus more on Federal Reserve commentary around inflation.