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How Fed Economists See Surging Freight Rates Lifting Inflation

A Cosco ship docked in Felixstowe port in the U.K. in January.

A Cosco ship docked in Felixstowe port in the U.K. in January.

Photographer: Chris Ratcliffe/Bloomberg

Federal Reserve Chair Jerome Powell is going to face some big questions from Congress this week about the outlook for inflation, like: Will unprecedented stimulus eventually come back to haunt the U.S. economy in the form of higher costs for American consumers?

For anyone involved in global trade, surging prices already abound for everything from lumber to shipping containers. As Bloomberg’s Enda Curran writes, some consumers of ocean freight services are chartering their own vessels to try to keep costs down.