Goldman Sachs: Food prices in Southeast Asia face upward risk in the coming months.

Goldman Sachs economists stated in a research report that food prices in Southeast Asia face upward risks in the coming months. They said that the oil impact from the Middle East conflict has already been reflected in fuel-sensitive consumer price index items. They added that rising fertilizer prices will increase agricultural inputs, and the potential El Nio phenomenon by the end of 2026 typically raises global temperatures, which could cause another food supply shock. Goldman Sachs predicts that a 10% increase in local oil prices will lead to a 0.3 percentage point increase in Southeast Asia's food CPI after 12 months. They also mentioned that estimates of the impact of the El Nio phenomenon are not precise enough.