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According to an AFP report on October 20th, the Federal Reserve has warned that geopolitical tensions may impact the global economy.
The Federal Reserve warned on the 20th that the recent attacks on Israel and the ongoing Ukrainian war may harm the world economy and drive up global inflation.
According to reports, Hamas militants launched an armed attack on southern Israel on October 7th, and since then, Israel has been conducting large-scale air strikes against the Gaza Strip.
The health authorities in Gaza, led by Hamas, say that Israel's retaliatory bombing campaign has resulted in more than 4100 deaths.
Israel has exchanged fire with Hezbollah militants in the northern border with Lebanon, raising concerns that the conflict may spread to countries in other regions.
The Federal Reserve stated in its semi-annual financial stability report that "the attacks on Israel, along with the Russo Ukrainian war, have exacerbated geopolitical tensions
The report also states, "The escalation of these conflicts or the worsening of other geopolitical tensions may lead to a decrease in economic activity and drive up global inflation
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