Supply strains, while still afflicting many consumers and businesses, are becoming more mundane than menacing like they were six months ago.
Tall cans of AriZona iced tea have cost 99 cents since 1992. The family behind the company says it’s committed to that price even as the prices of aluminum and corn syrup climb higher.Citi cautioned against declaring an “all clear” on the supply front, and there are reasons to doubt whether clogs in the plumbing of global trade will be cleared any time soon.
Controlling some levers of economic activity is the Federal Reserve, which is set to raise interest rates later this month to try to curb surging inflation. According to the central bank’s most recent, businesses are still dealing with plenty of supply problems, but they seem to be fading in severity.
Container rates, including those published by Freightos, a digital platform for cargo bookings, are still well above pre-pandemic levels, but their trajectory looks increasingly like a slide still searching for a bottom amid uncertainty about consumer spending.
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