Fed's Musalem: Energy Shock from Iran War Will Significantly Increase Inflation

AirdropBlackHole · 2026-04-02T04:21:11+00:00

St. Louis Fed President Musalem expressed concerns about how energy shocks from the Iran war will drive overall inflation and influence core prices, anticipating a direct correlation between rising commodity prices and inflation rates.

AirdropBlackHole

2026-04-02 04:21:11

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On April 1, St. Louis Fed President Musalem stated that energy shocks related to the Iran war will undoubtedly impact overall inflation and may exert pressure on core prices. Musalem said, “I expect that the rise in commodity prices will have a one-to-one effect on overall inflation, leading to a period of high overall inflation. Core inflation will also experience some transmission, and I will closely monitor the degree of transmission and the correlation between the two.” (Jin Shi)

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