New Delhi, Jagran Bureau. Russo-Ukraine war will increase inflation in most countries. According to Moody’s, from interest rate to growth rate can be affected. Due to the increase in the price of different types of metals, the prices of ACs, refrigerators to cars can increase. The prices of industrial commodities like steel, coal, copper have started increasing.
Jagran Bureau, New Delhi. Moody’s believes that the Russo-Ukraine war will disrupt the supply chain of a variety of goods, leading to inflation in most countries. The result would be that the central banks of most countries would raise interest rates and slow growth. On the other hand, due to war, the prices of metals like steel, coal, copper, aluminum have started increasing. This will increase the cost of manufacturing and increase the price of the car along with ACs, refrigerators and many other types of electronics products. In the last one week, the price of steel has increased by Rs 5000 per ton and the price of coal has increased by 20 percent.
The international prices of metals like copper, nickel, aluminum are increasing on a daily basis since the war. Crude oil prices have crossed the level of $110 per barrel. There is a huge increase in the price of petrol, diesel and gas, which will affect the prices of all commodities. In the last two weeks, the price of wheat has also increased by up to 20 percent. According to experts, India’s retail inflation may increase by up to 25 basis points if crude oil prices rise by $10 per barrel.
According to Moody’s, the world’s major countries will also have to rethink their strategy to keep their energy security and supply chain in order. Moody’s believes that the impact of the Russo-Ukraine war will be on the global supply chain and it depends on how long the war lasts. Companies that have nothing to do with this war can also be affected by it. Because the prices of commodities can rise in both the interest rates.
After the Russo-Ukraine war, steel makers have increased the price of hot rolled coils (HRC) and TMT bars by Rs 5,000 per tonne. These may increase further as the war continues. Similarly, the price of coal has reached $ 500 a tonne, which is 20 percent higher than the last few weeks. With the increase in the price of copper, $ 10,545 per tonne, aluminum $ 3,710 per tonne, while the price of nickel has also increased to $ 27,815 per tonne.