The cost of crucial goods are rising, and consumers are about to feel the pinch.
Amid indications of improvement in the American economy, a host of industries are having their margins squezed by rising commodities prices. These costs, ranging from corn to cotton to oil have surged in recent months, and the effects are unevenly felt by companies. According to a new report by Fitch Ratings, a global rating agency, industries directly tied to oil and food prices are hit hardest.
In January, food prices increased by .5 percent, the biggest jump since high food prices sparked riots around the world in September 2008, according to recently released government figures. The United Nations said last week that countries in Africa and Latin America are most at risk of a fresh round of food riots as prices advance. The recent protests in the Middle East and North Africa were partly linked to rising agriculture costs.
Energy prices also increased, for the seventh month in a row, rising 2.1 percent.
See which industries Fitch rates as likely to be the hardest hit.