A slowdown in inflation isn’t good for all stocks. The challenge that Tesla and others could face.

Inflation may have peaked, which could be bad news for stocks that have benefited from higher prices.

It took some time, but the market eventually rallied around the idea that inflation is not warming and may eventually fall back to levels more acceptable to the Fed. Friday’s strong payroll data complicates matters – wage growth is still up 5% – but doesn’t change the fact that the consumer price index fell to 7.8% in October from a peak of 9% in June and is expected to fall noticeably 7.3% in November. That reading is due on December 13, a day before the Fed announces its next monetary policy decision.