Middle East Conflict Impacts Australia's Economy

0:00What's up Adelaide? This is Adelaide News today, bringing you the city's fastest updates on what is happening now. The growing conflict in the Middle East is starting to affect Australia's economy, with petrol prices jumping in major cities after recent strikes. This raises concerns about higher inflation, as oil supplies face risks, since one-fifth of the world's oil moves through the strait of Hormuz. Reserve Bank Governor Michelle Bullock noted this week that it's too soon to predict the full impact, but they're closely watching for any shifts in. Inflation expectations, she added that ongoing energy disruptions could slow global growth and actually ease some price pressures down the line. Inflation held steady at 3.8% recently, but the underlying measure that the bank prefers climbed to 3.4% in January, still above their 2-3% target. Household spending ticked up a bit that month too. Looking ahead, the bank's next-grade decision on March 17th is wide open, with talks of possible back-to-back increases after they lifted the, cash rate

1:03to 3.85% in February. Key data drops this week include Westpac's Consumer Confidence Survey on Tuesday, expected to dip 1.1% and NAB's Business Confidence Report. Markets felt the heat, with Wall Street's main indexes dropping Friday amid wheat jobs data and rising fuel costs, the Dow fell 0.95%. Percent, S&P 500, down 1.33%, and NASDAQ off 1.59%. Australian shares slid 1%, their worst weeks since early April and futures point to more pressure. Appreciation to our sponsor for back in this episode. It is a pillow that plays your podcast in music without earbuds, built for listening in bed, SOLI, pillow.com.