Stocks would have a field day scenario
[Some will point out that historically inflation actually has not been good for stocks. Jesse points out that this is not because of any inherent reason but an artifact of 3 results:
1. Inflation is usually associated with wars which are predominantly risk-off which contract multiples.
2. Policy feedback loops: namely inflation leads to raising interest rates which increases discount factors
3. An accounting distortion: net earnings are overstated since inflation understates GAAP depreciation expenses, but the market is able to see thru that and assign the lower multiples you'd expect with lower earnings]