Prediction markets see higher inflation than the Fed. These 6 stocks play the gap.

Prediction markets, the Cleveland Fed, and the OECD all price April CPI well above the Fed's 2.7% PCE projection. The equity market has barely started to absorb what a 3.6%+ print on May 13 means for pricing-power stocks versus rate-sensitive names. A three-long, three-short pairs-trade framework illustrates the asymmetric repricing the market faces.