“Catastrophic” Hurricane Harvey Wreaks Havoc in U.S.

Hurricane Harvey killed at least two people and is disrupting commerce along the U.S. south Gulf coast.

The broadening disaster will likely dent month-end car sales. Last week before Harvey’s magnitude was understood, several analysts predicted deliveries in August would reverse seven months of year-on-year decline. Reports indicate that flooding already may have damaged thousands of new cars on dealer lots.

The storm, described by experts as “catastrophic,” hit land with wind speeds of 132 mph. The hurricane has been ranked the worst to hit the U.S. in 13 years. roughly 20% of the country’s population is being directly affected mainly by torrential rainfall and “unprecedented” flooding.

Forecasters expect the storm to continue to inflict damage across multiple states through Thursday. Harvey has idled some 1 million barrels per day of oil refining capacity and blocked deliveries of crude by oil tankers. Analysts say the resulting drop in production may drive up gasoline prices in parts of the country by about 5 cents per gallon.

Two feet of rain fell in Houston, Tex., on Saturday, and more than 300,000 people lost electricity. Forecasters say rainfall totals could reach more than three feet in parts of the Gulf coast as the slow-moving storm continues eastward.