The U.S. economy showed signs of accelerating growth in early 2025, fueled by stronger business activity and consumer demand.
That momentum was interrupted after peace talks with Iran collapsed, sending global oil prices surging once again.
Rising energy costs have reignited inflationary pressures, threatening the broader economic recovery.
S&P Global surveys indicate that inflation is now climbing alongside persistent supply chain disruptions.
Manufacturers and service providers report higher input costs and longer delivery times across multiple sectors.
The combination of higher oil prices and supply woes is squeezing businesses and raising costs for consumers.
Economists warn that the latest price shocks could slow the pace of hiring and dampen spending in the coming months.
