According to The Kobeissi Letter, Goldman's basket of stocks specifically designed to perform well during stagflationary environments has continued to soar, as new data confirms worsening stagflation in 2025. The report highlights a combination of rising inflation and a weakening economy, placing the Federal Reserve in a challenging position with limited policy solutions (source: @KobeissiLetter, April 30, 2025). For traders, this signals increased volatility and potential opportunities in sectors historically resilient to stagflation, such as commodities and defensive equities. Close monitoring of inflation data and Fed policy responses is essential for informed trading strategies.