There’s a new inflation warning for consumers coming from the supply chain
Publishing timestamp: 2023-02-13 17:57:19
Summary
Warehouse and distribution center prices are increasing, with US storage prices up 1.4% month-over-month and nearly 11% year-over-year. This is due to a lack of consumer demand, resulting in bloated inventories. This is expected to have an effect on consumer prices, with the latest consumer price index data due out Tuesday. Charges to use cargo containers as temporary warehouse space are expected to increase in the coming quarters. Inflationary pressures remain in the supply chain, including in warehousing, domestic parcel, and labor. The Federal Reserve is now more focused on services inflation, in particular labor prices, as it expects pressure in goods inflation to continue downward trend. Companies are being charged fees for holding containers, which are passed on to the consumer.
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Keywords: united parcel service inc, united states, kuehne und nagel international ag, shipping, warehouse construction, economy, logistical and moving services, ch robinson worldwide inc, j.b. hunt transport services inc, gxo logistics inc, u.s. economy, transportation and shipping, xpo logistics inc, business news,