Free Trial

MNI BRIEF: Limited Red Sea Inflation Impact For Now - BOS

(MNI) Rome

The impact on inflation from taffic disruptions in the Red Sea “would, for now, be very small,” the Bank of Spain wrote in its latest blog published Monday, noting that the situation must be closely monitored due to the high levels of uncertainty.

The national central bank bases its conclusions on estimates from its bottlenecks index, that shows rising problems in the euro area since mid-December, but remaining well below levels seen during the pandemic.

“The current weakness in global demand and the absence of congestion in the logistics industry and global supply chains before the current episode would have contributed to this containment of bottlenecks,” the BoS wrote on the blog.

MNI Rome Bureau | +34-672-478-840 |
MNI Rome Bureau | +34-672-478-840 |

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.