ECB's Moulin Says 3.5-Month Gulf War Energy Shock Spreads to Goods, Not Wages
Updated
Updated · Bloomberg · Jun 15
ECB's Moulin Says 3.5-Month Gulf War Energy Shock Spreads to Goods, Not Wages
3 articles · Updated · Bloomberg · Jun 15
Summary
Three and a half months after the Persian Gulf war began, ECB policymaker Emmanuel Moulin said the oil-and-gas shock now looks persistent rather than temporary.
Oil and gas increases have started passing into other consumer prices, including some services, showing the energy shock is broadening beyond fuel bills.
Euro-area wages still show no second-round effects, Moulin said, marking a key limit to the inflation spillover for now.
The remarks align with Christine Lagarde's warning that high energy prices are already generating wider second-round inflation across the economy.