Supply chain issues could impact the current declines from record high inflation.
Americans were greeted with better news as recent inflation numbers have been declining from historical highs. However, supply chain issues — specifically a shortage of warehouse capacity — might forestall continued positive news in this area.
Decreased consumer demand has brought high inventories within the US supply chain. We are nearing the point where shippers are literally running out of space to warehouse excess inventories. This dynamic would result in higher shipping and warehousing costs passed along to consumers in the coming months.
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