How is the El Nino weather phenomenon impacting the world economy? The International Monetary Fund says in a new report that El Nino has a variety of influences on crops, commodities, and even people's spending.

The report says growth, inflation, and commodity prices are sensitive to El Nino developments. For instance, El Nino causes hot, dry summers in southeast Australia, leading to more bush fires, and lower wheat export volumes. That drives up global wheat prices and cuts the country's economic growth.

However, El Nino brings wet weather to the American state of California. That's good for the state's almond and lime crops.

El Nino also diminishes tornado activity in the American Midwest and on the country's east coast, leading to higher real GDP growth.