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Commodity supply constraints due to Covid-19 and Ukraine crisis are easing

Latest: Commodity supply constraints caused by the coronavirus and Ukraine crisis are easing. As of August, an index showing the level of disruption in the global supply chain improved for four consecutive months, with freight rates for container ships down 50 percent from their peak a year earlier. The easing of logistical congestion is good for curbing inflation, but it will take some time to return to pre-pandemic levels. The August index released on September 7 fell for the fourth consecutive month, the lowest level since January 2021, before price increases became severe. This is a 66% drop from the December 2021 peak.

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