It’s not caused by general inflation, it’s a response to the attempts to mitigate inflation. Increased interest rates have meant an end to cheap credit and put

It’s not caused by general inflation, it’s a response to the attempts to mitigate inflation. Increased interest rates have meant an end to cheap credit and put a damper on stock prices. Companies are trying to shore up their valuation by signalling to investors that they are driving towards profitability rather than debt-driven growth. This means raising the price of their product and cutting costs (ie layoffs).