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Businesses are facing rising costs during the Iran war, and economists expect more strains ahead

The Independent·Wyatte Grantham-Philips·21 days ago
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Costs are piling up for businesses during the U.S. and Israel 's war against Iran — and many economists see a bleak outlook, with some bracing for a downturn in hiring and investment in the coming months. Nearly half of American business economists who responded to a survey by the National Association for Business Economics say that the conflict has negatively impacted their operations, according to a report released Monday, and most (54%) say they've been affected by rising energy prices. More than two-thirds reported steeper material expenses over the last three months, the highest level NABE has seen since July 2022. The Iran war, which began with U.S. and Israeli attacks on Feb. 28, has plunged the world into an energy crisis. Crude oil costs continue to rise amid Washington and Tehran's ongoing standoff in the Strait of Hormuz — worsening price spikes for companies and households around the globe. As fuel gets more expensive, transportation costs are eating further into businesses' everyday operations.…

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