Gas, Groceries, Housing… Why Hasn’t the Market Cracked?

Markets & Economy

Gas, Groceries, Housing… Why Hasn’t the Market Cracked?

The Inflation Signal Chuck Carlson is Watching Closely

by John Trapp, Host at WorthNet

Gas. Groceries. Housing. Insurance.

For many Americans, higher prices continue straining household budgets.

And yet the stock market continues hovering near record highs.

Despite some daily dips, the S&P 500 is up over 25% the past 12 months as of early June.

So what exactly is Wall Street seeing that many investors may be missing?

In this conversation, WorthNet Partner Adviser and Horizon Investment Services CEO Chuck Carlson breaks down the tension between persistent inflation and a surprisingly resilient market.

Carlson argues that while higher prices continue pressuring consumers, one force continues supporting stocks—

Corporate profits.

He explains why strong earnings may still be overpowering inflation concerns…

why he’s closely watching transportation stocks for signs of economic deterioration…

and why he believes investors sometimes overreact to headlines while missing the market’s underlying signals.

The conversation also covers:

Why Carlson believes inflation alone may not be enough to derail equities
The “three engines” he believes drive markets: inflation, interest rates, and profits
Why he still favors stocks over gold in many inflationary environments
The hidden AI infrastructure bottleneck he believes investors may be overlooking
How Horizon uses its proprietary Quadrix^® system to identify opportunities

Carlson’s work has appeared in outlets including The Wall Street Journal, Barron’s, and Kiplinger across a four-decade career. He also contributes to one of the country’s longest-running independent market research letters, The Dow Theory Forecast.

WorthNet itself doesn’t provide advisory services and is not a client of Horizon Investment Services or the other advisers; rather, we are compensated for promoting certain advisers in our network, and we have a financial incentive to recommend these advisers, which creates a material conflict of interest.

Charles B. Carlson, CFA®

CEO & Portfolio Manager of Horizon Investment Services

Investment Visionary, Seasoned Asset Allocator

Charles B. Carlson is a veteran investment adviser with over 25 years of experience in retirement planning, asset allocation, and portfolio management. He is CEO of Horizon Investment Services (CRD #110642), a proud member of the WorthNet partner adviser network.

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Last Revised: June 5, 2026

The views and opinions expressed by guest speakers or authors are their own, do not necessarily represent the views of WorthNet, and are subject to change without notice. From time to time, WorthNet features partner advisers pursuant to promotional agreements. Partner advisers who enter into such agreements are clients of WorthNet, which creates a material conflict of interest because WorthNet has a financial incentive to promote its partner advisers. The guest is affiliated with a partner adviser of WorthNet. The guest stands to benefit directly or indirectly from this article. This relationship creates a material conflict of interest, as the guest may benefit from referrals or increased visibility through WorthNet. This content is intended solely for general informational and educational purposes; it does not constitute investment advice, a recommendation, or a solicitation to buy or sell any security.

Horizon Disclosures: Horizon Investment Services, LLC is a registered investment adviser with the United States Securities and Exchange Commission in accordance with the Investment Advisers Act of 1940. The firm manages equity, mutual fund, income, balanced, and ETF portfolios for U.S. investors. Registration with the SEC does not imply a certain level of skill or training. Horizon Investment Services claims compliance with the Global Investment Performance Standards (GIPS^®). To receive Horizon’s GIPS-compliant performance information, contact Tom Hathoot at 1-219-852-3215 or write Horizon Investment Services, 7412 Calumet Ave., Hammond, IN 46324, or email thathoot@horizoninvestment.com. The Quadrix^® stock-rating system is a proprietary product used to support investment decision-making, wholly owned by Horizon Publishing Company, Horizon Investment Services’ sister company. Horizon Investment Services has contracted with Horizon Publishing Company to use the Quadrix stock-rating system for its stock-screening processes. From time-to-time, Horizon Publishing Company may change the weightings of the various metrics that go into computing Quadrix scores. GIPS^® is a registered trademark of the CFA Institute. CFA Institute does not endorse or promote this organization, nor does it warrant the accuracy or quality of the content contained herein. CFA^®: Chartered Financial Analyst^®. The Chartered Financial Analyst designation is a professional designation awarded by the CFA Institute. A CFA Program candidate must pass three exams in the following areas: portfolio management, accounting, ethics, money management, and security analysis. CFA charter holders are subject to rigorous ethics rules. CFA^® and Chartered Financial Analyst^® are registered trademarks owned by CFA Institute. As a fiduciary, Horizon is legally and ethically bound to act in the best interests of its clients. An investment in this strategy involves the risk of loss. Investment return and principal value will fluctuate so that the investment, when redeemed, may be worth more or less than the original investment. Past performance is no guarantee of future results. No formula or other device being offered can, in and of itself, be used to determine which securities to buy or sell. Horizon Investment Services’ clients and/or employees may hold positions in the stocks suggested in this presentation.