Why a peace deal with Iran won't save the economy from energy-market chaos this summer by Jennifer Sor and Samuel O'Brient
Christopher Hodge, chief US economist at Natixis CIB Americas, noted that while a jet fuel shortage would be highly inflationary for all aviation-exposed sectors in the short term. However, he added that the broader consequences likely won't be confined to the travel industries.
"Households paying more for airfare, gasoline, or delivered goods have less income to spend elsewhere," he told Business Insider. "That means discretionary categories, restaurants, leisure, retail goods, entertainment, and nonessential services, could see softer demand and weaker pricing power over time."
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