Iran conflict forces Asian central banks into sharp policy rethink - Reuters
Iran conflict forces Asian central banks into sharp policy rethink Reuters
Coverage by Political Leaning
See how different sides of the spectrum reported this story
Notable Quotes
"We don’t see a possibility of a near-term rate hike in India — we do not see retail fuel prices moving higher immediately."
— Suvodeep Rakshit , Academic
"Many central banks will face a tough decision as they come under pressure from both markets and governments."
— Toru Nishihama , Academic
"For now, we continue to believe BoK is unlikely to hike policy rate in response to a higher-than-expected oil price."
— Kim Jin-wook , Academic
"If inflation expectations increase, which they obviously could in this period where we’ve had high inflation, that will mean that the Reserve Ba..."
— Jonathan Kearns , Academic
"Many central banks will face a tough decision as they come under pressure from both markets and governments."
— Toru Nishihama , Academic
"For now, we continue to believe BOK is unlikely to hike policy rate in response to a higher-than-expected oil price."
— Kim Jin-wook , Academic
"If inflation expectations increase, which they obviously could in this period where we’ve had high inflation, that will mean that the Reserve Bank would need to have interest rates higher for longer in order to bring inflation back down."
— Jonathan Kearns , Academic
"We don't see a possibility of a near-term rate hike in India - we do not see retail fuel prices moving higher immediately."
— Suvodeep Rakshit , Academic
"Many central banks will face a tough decision as they come under pressure from both markets and governments."
— Toru Nishihama , Academic
"For now, we continue to believe BoK is unlikely to hike policy rate in response to a higher-than-expected oil price."
— Kim Jin-wook , Academic
"The United States will not tolerate hostage diplomacy."
— Marco Rubio , Politician
"I want everyone to know your military is getting the job done."
— Marco Rubio , Politician
"We're going to continue to hold the Iranian regime and all other regimes accountable for these practices."
— Marco Rubio , Politician
"We present the 31st wave of attacks to the Commander-in-Chief of our Armed Forces."
— Mojtaba Khamenei , Politician
"Military assistance provided to Cyprus is strictly defensive."
— Kyriakos Mitsotakis , Politician
Key People
Supreme Leader of Iran.
Chief economist at Challenger and former Reserve Bank of Australia official.
Economist at Citigroup.
Prime Minister of Greece, member of New Democracy party.
U.S. Secretary of State.
Iran's Supreme Leader who is involved in ongoing peace negotiations.
Economist at Mumbai-based Kotak Institutional Equities.
Chief emerging market economist at Dai-ichi Life Research Institute in Tokyo.
Vladimir Putin is the President of Russia.
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<a href="https://news.google.com/rss/articles/CBMitgFBVV95cUxQYnplNWFGYTVOVjZnLTd5bEs5SFRCTDNkeTFRWHFfWmRVTEJBVHRPOGFKVFgzdTR4UUJ4SHpBeDJ2MW9RUWtDREJsWF80ZGc5aFVybGc1UThXWW9jblgzNDJ0QndMSERqdDZIT1ZHSGxOdjBOakJYN3RSdTM5R1ZhUUtBUkw1U0YxTWZYSlJxdU5KbklzbUxPbTN1MFFOc3J1TTNaM181cm82a3UzbjhGMDFMS0dwQQ?oc=5" target="_blank">Iran conflict forces Asian central banks into sharp policy rethink</a> <font color="#6f6f6f">Reuters</font>
The escalating Middle East crisis has significantly impacted Asian central banks, presenting challenges in balancing growth support with inflation control amid rising fuel costs and potential capital outflows.
The Middle East crisis has altered global central banks' outlooks, with supply shocks complicating the balance between fostering growth and combating inflation, especially for emerging Asian economies.
The Iran–U.S./Israel conflict has disrupted about 20 % of global oil shipments via the Strait of Hormuz, driving Brent crude from ~$70 to over $110–114/barrel. This supply shock forces global central banks—especially in emerging Asia and Japan—to reconsider monetary policy amid rising inflation and economic uncertainty.
The escalating crisis in West Asia has dramatically changed the outlook for global central banks, with the huge supply shock posing a difficult trade-off between underpinning growth and countering inflation.
The Middle East crisis has dramatically changed the outlook for global central banks, with the huge supply shock posing a difficult trade-off between underpinning growth and countering inflation.
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