Shares of industrial and transportation companies fell amid a growing sense that supply-chain distortions will be a lasting issue for the global economy.
The Federal Reserve's acknowledgement that inflation could be a lasting phenomenon has prompted investors to position for prolonged disruptions to supply chains. "Shortages issues have rippled through global supply chains, causing a major upside inflationary surprise," said analysts at brokerage Bank of America Global Research, in a note to clients.
In the latest sign of how corporations are dealing with prolonged supply-chain interruptions, Stanley Black & Decker's finance chief said he's spending more time and money trying to strike partnerships with battery and chip manufacturers to meet demand for the company's tools.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
06-18-21 1654ET
