The spillover effect of the Middle East conflict has now spread to the real economy in the United States.

The ongoing fermenting Middle East conflict is shaking global economic confidence, causing severe impacts on capital markets. Its spillover effects have now spread to the real economy, affecting American prices, production costs, and people's daily lives. Data from the U.S. Bureau of Labor Statistics shows that, driven mainly by the rise in energy prices, the inflation rate in March rose to 3.3%, hitting a two-year high. The International Monetary Fund currently predicts that the inflation rate in the U.S. this year will be 3.2%, higher than the expected value of about 2.5% before the conflict erupted. The OECD has further revised its forecast, raising its full-year inflation expectation for the U.S. from 2.8% to 4.2%. Data from the American Automobile Association shows that gasoline prices have risen from $2.98 per gallon at the end of February to around $4.09 on April 25. The impact is not limited to the fuel sector. Aviation fuel prices have nearly doubled, pushing up airline operating costs and leading to an increase in ticket prices.