This is the year inflation worries could begin to simmer for the first time in ages.
After years of worrying about deflation, the stock market could catch a whiff of inflation later in the year. In its 2017 outlook, Charles Schwab pulled inflation to its "front burner" list of concerns for stocks and pushed deflation to its "back burner." Others feel the same.
"In the second half of the year, we think there's going to be some headwinds in the market with people worrying about wage inflation in 2018, and the Fed being behind the curve. It's not necessarily that they're going to be realities, but I think at the end of the year, people are going to be worried about inflationary pressures, largely coming from wages," said Scott Wren, senior global equity strategist at Wells Fargo Investment Institute.