We'll see the effect at the gas pump almost immediately, but effects will continue to widen.
NEW YORK (CNN/Money) - As rescuers continue to try to save people trapped in New Orleans and get relief to those evacuated, Wall Street is looking at how the storm will affect business, the markets and the economy. Here's the latest news on how they are responding, and what market watchers should look for in the coming weeks.
Oil shortage
Energy Secretary Samuel Bodman said Wednesday that the White House plans on tapping the nation's Strategic Petroleum Reserve to help refiners hurt by Hurricane Katrina. [Read more]
Gas, and the economy it fuels
Consumers can expect retail gas prices to rise to $4 a gallon soon, but whether they stay there depends on the long-term damage to oil facilities, oil and gas analysts said Wednesday. [Read more]
The devastation of Hurricane Katrina will also take a big bite out of job creation for months to come, analysts said, as companies spending more on energy spend less on hiring. [Read more]
The president of the Federal Reserve Bank of Philadelphia said that Katrina would "slow but not stall" economic growth, noting that the U.S. economy has proven to be very capable of absorbing shocks. [Read more]
Corporate earnings
Analysts expect Katrina to take a big bite out of corporate earnings, except in the energy and construction sectors, as high energy prices hit consumer spending and corporate budgets. [Read more]
Insurance
Hurricane Katrina is expected to be one of the costliest U.S. storms for insurers, but risk forecasters are deeply split about the extent of the damage. Insured losses may total as much as $25 billion, but insurers' stocks have held up well, with the S&P insurance index falling less than 1 percent this week. [Read more]
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