SDIV - Consider This: Canals Are Becoming Chokepoints
2024-02-21 16:55:00 ET
Summary
- International trade drives global economic growth, and around 80% of the global movement of goods is via maritime transport.
- In December 2023 and January 2024, Suez Canal's flow of traffic has been reduced by around 42% because of the Houthi militants' missile and drone attacks on shipping, supported by Iran.
- We are seeing more frequent El Niño weather patterns, which result in drought, with a direct impact on the capacity of Panama Canal.
By Kim Catechis, Investment Strategist, Franklin Templeton Institute Franklin Templeton
The importance of major canals to global trade cannot be underestimated. Franklin Templeton Institute’s Kim Catechis highlights some of the challenges they face, including militant attacks and climate change. ...
Consider This: Canals Are Becoming Chokepoints