USD150+ oil, lower growth, 5% inflation: Forecasts torn up as Iran war drags on
Australian economists have shifted their predictions quickly and dramatically with the conflict in the Middle East showing no signs of abating.
US President Donald Trump claims he is contemplating “winding down” the Iran war. A new tranche of revised economic predictions suggests top forecasters are unconvinced the conflict will be in the rearview mirror any time soon.
Here’s what you need to know about the key economic data releases this week.
Economists revisit forecasts as Iran conflict continues
It’s back to the drawing board on economic forecasts as the Middle East conflict continues.
Higher fuel prices are an obvious immediate effect, but economists are broadly warning about the knock-on ramifications of lower global growth, a hit to consumer and business confidence, higher airfares and cost pressures throughout the supply chain including fertiliser, shipping, LNG and thermal coal among others.
