A cyberattack shut down a significant gas and energy pipeline supplying the East Coast of the United States for several days. The existing pipelines themselves are still functional and have since started running again, but it’s led to long lines and closed gas stations in many regions.1,2
While this situation is alarming and has several short-term consequences, it’s important to remember that the attack has mainly affected the computer systems used to transport the fuel. The flow of gasoline will soon return to its normal rate.1
Adding to the financial woes is the latest Consumer Price Index (CPI), a high jump of 4.2%. (Economists were looking for 3.6%.) Fed officials say that this represents a temporary rise and indicate that the overall economic recovery, post-pandemic may influence these.3
Whatever lies ahead, it’s important to remember that, while these might be complex matters for the household, they do not necessarily reflect the economy as a whole. Your economic strategy should factor in information like rising prices, so it’s important not to let certain events distract you from the bigger picture. As always, I’m happy to have a conversation with you about any concerns you may have.
1. MarketWatch, May 10, 2021
2. Washington Post, May 11, 2021
3. CNBC, May 12, 2021