Ida Hit Adds to Fed’s Supply-Side Inflation Storm

Preliminary assessments by U.S. companies suggest that Hurricane Ida has resulted in damages in the range of $15-$25 billion, on the low- to mid-end compared to past hurricanes. Yet its disruption to raw materials production in Louisiana is likely to compound global supply-chain issues, further testing the definition of “transitory” inflation and exacerbating the Federal Reserve’s policy dilemma, according toBloomberg Economics.