Iran conflict shakes global economy as ECB raises interest rates
The conflict in Iran is shaking up economies worldwide, pushing prices higher and making growth harder.
The European Central Bank just raised interest rates for the first time in nearly three years as inflation spreads beyond energy costs.
Over in the US prices jumped 4.2% in May compared to last year, while paychecks aren't keeping up, with real hourly earnings down 0.7%.
World Bank warns global slowdown
The World Bank says global growth this year will be the slowest since 2020, thanks to rising energy prices and supply chain chaos from the Iran war.
Different regions are feeling the impact: China's exports got a boost from AI hardware demand, but Japan's small businesses are struggling with higher costs.
In Africa and the Middle East, Ghana saw faster industrial growth, and Egypt's Suez Canal saw revenue rise to its highest level since early 2024 as oil tankers rerouted after Hormuz closed.