10 Ways Weather Is Wreaking Havoc On The Global Economy

Area Impacted: Texas, Louisiana, and Arkansas the worst, but impact stretches north to Illinois.

Weather Event: Low levels of precipitation create drought conditions across multiple U.S. states.

Economic Impact: The impact has been significant on commodity markets, with corn supplies dipping and prices going higher. Feed for animals is also impacted. This is leading to higher commodity prices in the U.S. market, and in key export markets.

Area Impacted: Russia, around Moscow

Weather Event: Wildfires, sparked after a drought, ravaged large portions of the country in 2010.

Economic Impact: Russia's fires could cost the country as much as 1% of GDP, of $15 billion. The country's halt of wheat exports will impact prices worldwide, particularly in key trade partners like Europe.

Area Impacted: East Coast of the United States, stretching from the Mid-Atlantic to New England

Weather Event: Abnormal amount of large snow storms slamming key markets like New York and Philadelphia.

Economic Impact: The weather has been impacting U.S. jobs numbers, with a higher number of initial claims coming in than expected. It is making it difficult for analysts to grasp whether or not the U.S. is in full jobs recovery mode, and entering a new period of expansion.

The U.S. snow problem is not limited to the East Coast, and is impacting a broad swath of the country in its latest round.

Area Impacted: Southern China

Weather Event: A drought throughout the southern part of China, that has lasted through 2010 and 2011.

Economic Impact: The drought is impacting crop yield and adding to the inflation problem in China. Demand is already rising for food in the country, but supplies are being crunched by the drought. It is so serious, it could lead to a water crisis.

Area Impacted: The United Kingdom, particularly shopping mecca London

Weather Event: Abnormal snowfall late 2010 into 2011.

Economic Impact: The UK economy slipped back into negative growth in Q1, and it has been blamed on weaker than expected consumption. UK consumers have been inhibited from shopping by the bad weather.

Area Impacted: Around Sao Paolo

Weather Event: Floods and mudslides

Economic Impact: The floods in Brazil have been deadly, taking the lives of over 741 people. Crops impacted by the flooding are likely to create more pressure on already evident Brazilian inflation, which may rise to 17% in Q1.

Area Impacted: Poland, Germany, Central Europe

Weather Event: Destructive floods in 2010

Economic Impact: Floods have slammed some of Europe's key farmland, including fields in Poland. The estimated cost to the European economy is €2.5 billion.

Area Impacted: Pakistan

Weather Event: Large floods

Economic Impact: 20 million people displaced by the floods, with estimates of a $4 billion to $43 billion hit to the economy. Wheat alone sustained a $500 million hit, according to a Ball State report.

Area Impacted: Queensland, Australia

Weather Event: Massive floods

Economic Impact: GDP estimates being are trimmed over hits to the country's farming industry. Coking coal industry also smashed. The economic impact will extend into 2012, due to an inability to plant winter crops.

Area Impacted: Queensland, Australia

Weather Event: New, powerful cyclone

Economic Impact: Cyclone expected to cause death, destruction, and further flooding. Damages to crops likely to increase food price inflation risk.

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