There will be a variety of effects from the El Niño weather system that is anticipated to develop later this year, which could play havoc with investment strategies due to effects on a variety of sectors.
The 2026 El Niño season has been described as “interesting” by stakeholders because of the magnitude of the expected change in ocean temperatures.
Many experts are now expecting a strong El Niño for the second half of the year, which could match or even exceed the most intense El Niño of recent years, from 2016, said Munich Re.
This could cause different weather patterns that affect natural catastrophes, as well as causing food price jumps, and a series of knock-on effects in the wider economy.
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