Inflation concept stocks refer to the fact that in the context of inflation, relevant listed companies benefit from the increase in market prices caused by inflation.
For example, the price of agricultural products accounts for about 1/3 of my country's CPI index, so the price of agricultural products has a greater impact on CPI. Conversely, an increase in CPI often indicates an increase in the price of agricultural products; other factors that affect CPI and PPI The main factors include non-ferrous metals, precious metals (gold), petroleum, coal and natural gas, cement, building materials, shipping, fertilizers and feeds, sugar, wine and non-staple food. Due to inflationary environmental factors in these industries, prices in the futures market and spot market will rise, thereby increasing product prices and increasing the profits of listed companies. Based on experience in previous years when CPI was high, the biggest impact was on listed companies in industries such as non-ferrous metals, gold, petroleum, coal and natural gas, potash fertilizers, sugar, and wine.