Will AI create the world’s first trillionaire? Our team just released a report on a little-known company, called an “Indispensable Monopoly,” providing the critical technology Nvidia and Intel both need. <\/p>\n
Continue \u00bb<\/a> <\/p>\n On May 5, Griffin was interviewed at the Milken Conference on CNBC’s “The Exchange” by Sara Eisen, fielding questions about the U.S. economy, stock market, and even his real estate decisions in New York. But the aspect of CNBC’s interview that stood out was Griffin’s take on inflation.<\/p>\n Although Citadel’s boss noted that “inflation is not accelerating in a meaningful way at this point in time,” this was his response when probed by Eisen about the possibility of the Federal Reserve raising interest rates:<\/p>\n There’s always a risk of rate hikes when inflation has gone above target, and it’s been persistently about target now, and the labor markets are strong. And there’s signs that the labor market weakness that we were worried about just three or four months ago is largely dissipating.<\/p>\n When this year began, the stock market was trading at its second-priciest valuation in 155 years, according to the Shiller Price-to-Earnings Ratio. The reason such lofty premiums were supported was the prospect of several interest rate cuts by the Fed in 2026-2027.<\/p>\n With these rate cuts in 2026 effectively off the table and inflation notably picking up in March, Ken Griffin’s response to inflation is a sobering, if not uncomfortable, reminder that rate hikes are a real possibility for a historically expensive stock market.<\/p>\n While Griffin was supportive of President Donald Trump’s policies during his CNBC interview, economic data, along with outgoing Fed Chair Jerome Powell, point the finger of above-target inflation squarely at the president.<\/p>\n Powell has repeatedly flagged the price stickiness of Trump’s tariffs in the goods sector as one reason trailing 12-month (TTM) U.S. inflation remains above target.<\/p>\n But the bigger story is how Trump’s actions in Iran are reverberating through the U.S. economy. Iran’s closure of the Strait of Hormuz following attacks by the U.S. cut off about 20% of the world’s crude oil supply.<\/p>\n Though the reaction in energy markets has been swift, it’s the lagging effect of higher energy prices on transportation and production costs for businesses that can hit the U.S. economy even harder. Even if the Iran war ended right now, the inflationary effects of the largest energy supply disruption in history would likely be felt for several quarters.<\/p>\n According to the Cleveland Fed’s Inflation Nowcasting tool (as of May 5), TTM inflation is projected to rise 26 basis points to 3.56% in April and another 18 basis points to 3.74% in May. That’s up from a reported 2.4% in February, before the start of the Iran war.<\/p>\n If this trajectory continues, it may force the Fed to act, likely signaling the end of the AI-driven bull market.<\/p>\n Should you buy stock in S&P 500 Index right now? <\/p>\n Before you buy stock in S&P 500 Index, consider this:<\/p>\n The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a010 best stocks<\/a> for investors to buy now\u2026 and S&P 500 Index wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $473,985!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you\u2019d have $1,204,650!*<\/p>\n Now, it\u2019s worth noting\u00a0Stock Advisor\u2019s total average return is 950% \u2014 a market-crushing outperformance compared to 203% for the S&P 500.\u00a0Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors.<\/p>\n See the 10 stocks \u00bb<\/a><\/p>\n *Stock Advisor returns as of May 7, 2026. <\/p>\n Sean Williams<\/a> has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy<\/a>.<\/p>\n![\"A](\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/05\/cb9149faffaffe5f5f82dad7e71a9d28.png\")
Image source: Getty Images. Ken Griffin just said the quiet part out loud <\/p>\n Outgoing Fed Chair Jerome Powell points the finger at President Trump for above-average inflation. Image source: Official Federal Reserve Photo. Trump’s actions may force the Fed’s hand <\/p>\n
<\/a> US Inflation Rate<\/a> data by YCharts<\/a>. <\/p>\n