U.S. Economic News

March 29, 2021

U.S. News

Bloomberg reports that the blockage of the Suez Canal will negatively impact global trade long after backlogged vessels are again able to pass through the waters. The canal’s closure over the past week has affected hundreds of thousands of containers – roughly equal to the number pulled out of the market at the start of the pandemic – and is expected to worsen global equipment shortages, port congestion, and shipping times for the next several months. Bloomberg

The Wall Street Journal reports that many Chinese exporters are increasing their prices, deepening international concern over the potential for widespread inflation. In the past, Chinese factories staffed by cheap labor were often a force for driving global prices down, but a combination of supply chain bottlenecks, the rising costs of raw materials, and volatile markets is now putting upward pressure on Chinese manufacturers. WSJ