As monetary policy adjustments loom, the European Central Bank and Federal Reserve are set to lower interest rates in June, after some delays. However, recent events such as OPEC’s artificial production cuts and Ukrainian drone attacks on Russian oil infrastructure are raising the price of crude oil. These factors have a significant impact on the global oil balance and price of oil, a key element in setting central bank monetary policies.
The rise in crude oil prices has particularly affected the eurozone, which is sensitive to global oil market dynamics. Despite recent corrections in oil prices, concerns remain about their impact on inflation and monetary policy decisions. The increase in oil prices has implications for consumer goods prices, especially for motorists and public transportation users.
Inflation is also a concern for the US, where recent rise in oil prices has caused some experts to predict that they will remain high but not reach unsustainable levels. The impact on inflation is expected to be limited unless oil prices significantly exceed $100 per barrel.
Despite these challenges posed by oil price fluctuations, central banks are expected to continue with their plans for monetary policy adjustments. In conclusion, while oil prices are a key factor in setting monetary policies, experts believe that they will not have a major impact on inflation or rate decisions in the near future.
