negative
Recently
Inflation Risks Rise During Prolonged Conflicts
Supply disruptions in energy and food commodities drive persistent inflation pressures globally.
Prolonged conflicts are inherently inflationary because they disrupt the production and distribution of essential commodities. When major exporters are sidelined, the global supply of wheat, neon, or fertilizers drops, causing consumer price indices to rise by 2% to 4% above baseline targets. These supply-side shocks are difficult for central banks to manage, as traditional interest rate hikes cannot easily fix broken global supply chain logistics.