Red Sea crisis could jeopardize inflation fight as shipping costs spike globally
Publishing timestamp: 2024-01-11 10:25:37
Summary
Shipping costs between Asia and the U.S. are spiking due to the Red Sea crisis, disrupting global trade and raising fears of inflation. The diversion of container ships from the Suez Canal is causing a "global contagion" effect on freight rates. The ultimate economic impact remains uncertain, but if the disruption persists, it could stall the fight against inflation and delay interest rate cuts by the Federal Reserve. However, the article also suggests that the impact on consumer prices and the overall economy may not be significant.
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Keywords: economy, transportation and shipping, breaking news: economy, hapag lloyd ag, business news, transportation, retail industry, ap moeller - maersk a/s, trade, breaking news: business,