Inflation and Freight Markets
I've been asked several times over the last month if ship owners should be worried about rising inflation. I take this to mean two things. Firstly, does inflation (i.e. a decline in the value of a unit of money) signal a weaker freight market? And secondly, does inflation suggest higher interest rates and a higher cost of capital for ship owners, increasing the total cost of ownership? And when we talk about inflation, what inflation are we talking about? I guess most people