ARK Investment Management chief Cathie Wood says in a blog that deflation should be high up on the list of economic recovery concerns, rather than inflation, with a change of much-weaker-than-expected nominal GDP growth.That, in turn, should set the stage for the next leg up in innovation stocks that have underperformed this year as cash rotated to value, Wood argues.Year to date, the flagship ARK Innovation ETF (ARKK) is down 14.4%, the ARK Next Generation Internet ETF (ARKW) is off 10.8%, the ARK Fintech Innovation ETF (ARKF) is down 4% and the ARK Genomic Revolution ETF (ARKG) has lost 16%."Understandably, given the massive monetary and fiscal stimulus in the global economy, most economists and strategists are weighing the odds of inflation, but we are focused on the risks of deflation, some but not all of which would be bad news," Wood writes.The bad deflation would come from "short-term oriented, risk-averse shareholders," singed by the Financial Crisis
