Iran war drives global inflation surge

The Labor Department reported that the annual inflation rate rose to 3.3% in March, primarily driven by the oil shock resulting from the war and the continued closure of the Strait of Hormuz.

High fuel and fertilizer costs are particularly impacting Southeast Asian farmers, raising fears of a looming rice crisis as planting is delayed.

In the US, rising pump prices have significantly eroded worker paychecks, complicating the Federal Reserve's outlook on interest rates.

Analysts warn that even if a ceasefire holds, the structural damage to energy markets and supply chains could lead to a prolonged period of economic instability.