|| Special Correspondent: The economic aftershocks of the ongoing Iran war are spreading deeper into the global economy, with rising energy costs triggering inflation, disrupting supply chains, and dampening business activity across major regions, according to newly released international surveys.Fresh data from S&P Global’s purchasing managers’ index (PMI) paints a concerning picture, particularly for the euro zone, where economic activity slipped into contraction in April. The region’s headline PMI dropped to 48.6 from 50.7 in March, falling below the 50-mark that signals growth. The downturn reflects mounting pressure on both manufacturing and services sectors as companies grapple with surging input costs driven largely by energy price spikes.Factories across Europe are facing a sharp increase in production expenses, with the input price index jumping significantly. Meanwhile, the services sector—typically a pillar of economic stability—also weakened more than expected, underscoring the broadening impact of the crisis.Economists warn that supply shortages are becoming more widespread, compounding inflationary pressures and threatening further slowdowns in growth. Business sentiment and consumer confidence have also shown signs of deterioration, with many firms issuing cautious outlooks amid persistent uncertainty.In contrast, the United States reported modest improvements in economic activity. Manufacturing output reached a nearly four-year high, and new orders increased. However, analysts caution that this uptick may reflect short-term “panic buying” and stockpiling behavior rather than sustainable growth. The services sector, though slightly rebounding, continues to act as a drag on overall expansion.Elsewhere, countries such as Japan, India, Britain, and France recorded higher output levels, in part due to companies accelerating production to get ahead of potential supply disruptions. While this “front-loading” may provide temporary boosts, it raises concerns about a possible slowdown in the months ahead once demand stabilizes.Corporate warnings are also mounting. A growing number of global firms have either downgraded or withdrawn financial forecasts, citing shipment disruptions and rising costs linked to the conflict. Others have signaled impending price increases, further feeding inflation concerns.The energy shock has already translated into higher consumer prices, with inflation rising sharply in several major economies. Although core inflation—excluding energy—remains relatively stable for now, economists warn that prolonged disruptions could broaden price increases across sectors.Despite the widespread challenges, some industries are proving resilient. The technology sector continues to benefit from strong investment in artificial intelligence, while financial firms are capitalizing on heightened market volatility. In certain regions, such as South Korea, robust semiconductor exports have supported economic growth.Looking ahead, uncertainty remains high. Much depends on how long the conflict continues to disrupt key shipping routes, particularly the Strait of Hormuz, a vital artery for global energy supplies.International organizations have already begun revising their forecasts. The global growth outlook has been trimmed, with warnings that a prolonged crisis could tip the world economy toward recession. Historical comparisons to past energy shocks suggest that the effects could linger for years, influencing inflation, investment, and production patterns long after the conflict ends.As businesses and policymakers navigate this volatile landscape, the risk of a sudden shift in economic sentiment looms large, potentially amplifying the global slowdown.