Playing with matches

Inflation is running hot, hot, hot. But here’s what’ll happen next.

The big economic story of 2023 was America's painless disinflation. Pundits proclaimed that inflation was beat, a recession was imminent, and rate cuts were about to flow thick and fast. Alas, these talking heads were wrong. The economy is way hotter than they were ready for. Growth is strong, and prices are rising.

In fact, following a nasty surprise th…