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Daniel Moss

Deflation Is the Voldemort of the Coronavirus Era

It's odd that central bankers aren’t talking much about price movement, in either direction.

He who shall not be named.

He who shall not be named.

Photographer: E. Charbonneau/WireImage via Getty Images

The economic contraction wrought by efforts to contain the coronavirus is shredding inflation. Now deflation, a prolonged period of falling prices, is stalking the globe. The collapsing oil market is both a symptom of weaker demand and cause for a deepening slump.

Huge levels of stimulus are likely to be required long after the pandemic subsides. Yet concerns about prices moving up — or even down, for that matter — are starting to feel like an afterthought.