Analyst: Middle East conflict may cause US summer CPI to rise to 4%

According to BlockBeats, on June 23rd, analysts from Bloomberg Economics, including Ziad Daoud, stated in a report that as US President Trump's suspension of so-called equivalent tariffs is about to expire, rising geopolitical risks are intertwined with the possibility of tariff escalation in the coming weeks. The biggest impact of the prolonged Middle East conflict on the economy may be the soaring oil prices. In the extreme case of the closure of the Strait of Hormuz, crude oil may soar above $130 per barrel. This may bring the US summer CPI close to 4%, prompting the Federal Reserve and other central banks to postpone future interest rate cuts. The report states that any significant increase in oil or gas prices, or trade turbulence caused by further escalation of conflicts, will become another constraint on the world economy. (Golden Ten)