Do banks profit from inflation and deflation, and how?

Banks can also profit from inflation. Inflation means that the currency decreases in value, so an investor can profit by investing in goods that they think will continue to grow in value faster than the purchasing power of the currency decreases. Deflation is the opposite of inflation, and describes a fall in prices. read more

Profiting From Deflation and Inflation Posted on November 1, 2008 August 4, 2017 by John Jagerson As central banks in Europe, Asia, and the U.S. continue to fight the perceived threat of deflation I think it is useful to talk about what deflation is and how it is possible to profit from it. read more

Over time, inflation erodes the value of a nation’s currency. There are a variety of factors that influence inflation and arguments about its root cause, but for consumers and investors, the end result is the same. read more