Study Suggests That Stocks Do a Better Job of Predicting Inflation Than Gold, Real Estate or Anything Else.

“Fortune — Federal Reserve chairman Ben Bernanke often gets criticized for overreacting to the stock market. But maybe that’s exactly what he should be doing.

QE2 and Operation Twist were announced after market drops. And the recent swoon in the Dow, despite rebounding yesterday, along with some rather weak economic data, have reignited new speculation that Bernanke & Co. might finally announce a new stimulus program. That’s led some critics to contend that Bernanke cares more about the direction of stocks than the general economy. Others, who predict the Fed’s moves will spark massive inflation, say Bernanke is choosing investors over consumers.

But a new study suggests …”

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