What’s on the Horizon at the Fed’s July Meeting? BDI and Global Supply Chain Implications

Kevin Warsh’s second term as Fed chair comes amid mounting pressure to hike interest rates as inflation persists. The Baltic Dry Index (BDI) surged 50% in 2024’s opening months, signaling global supply chain strains, while congestion in the Panama and Suez Canals is tightening commodity price pressures. The Fed’s policy moves could either ease or exacerbate these tensions, reshaping market expectations for the world’s largest central bank.