The Organisation for Economic Co-operation and Development (OECD) has issued a cautionary note to central banks against prematurely declaring victory over inflation despite the US experiencing a rapid fall in inflation. The OECD recommends that monetary policy should remain restrictive for a while, highlighting the importance of 'non-inflationary growth', labor hoarding, favorable disinflationary dynamics, and stronger productivity. With the potential for interest rate cuts in the coming months, the OECD's position is particularly relevant as the UK grapples with the highest inflation rate among the G7 nations.
Central banks must beat inflation before cutting interest rates, says OECD https://t.co/0taILAeOpU
Why central banks are reluctant to declare victory over inflation ▶️Important to stress that we're currently experiencing "non-inflationary growth" w/ labor hoarding, favorable disinflationary dynamics & stronger productivity. Policy can be gently eased https://t.co/Rb6wi0m1CN https://t.co/CzVPSS7cFq
UK inflation to be highest in G7 as Bank of England urged to be ‘prudent’ with interest rate cuts https://t.co/X1u7GNuBjk #inflation #interestrates
UK forecast to have the highest inflation in the G7 and the fourth worst rate of growth in the G20 🔽 https://t.co/jZUfiPPHjN
The world’s major central banks mustn’t drop their guard in the fight against inflation, the OECD says https://t.co/1YrTwrALnm via @economics
Breaking news: A rapid fall in US inflation has opened the way for interest rate cuts within months, according to the OECD, but the UK will be burdened by the G7’s highest inflation rate https://t.co/bQqmw5Jj81 https://t.co/ZcjckHtvBs
Too soon to cry victory on inflation, OECD tells central banks https://t.co/JHm9m2QYH7 via @WHorobin https://t.co/AF9DYJN5xE
Breaking news: Breaking news: A rapid fall in US inflation has opened the way for interest rate cuts within months, according to the OECD, but the UK will be burdened by the G7’s highest inflation rate https://t.co/d0KOHeKJ1d https://t.co/Aolo2aokR0
Falling US Inflation Opens Door To Rate Cuts Within Months, Says OECD - FT https://t.co/ntkATVUVbt
The world’s major central banks mustn’t drop their guard in the fight against inflation, the OECD says https://t.co/28Jawnt77F
🔴 OECD: MONETARY POLICY SHOULD REMAIN RESTRICTIVE FOR SOME TIME.
Falling US inflation opens door to rate cuts within months, says OECD https://t.co/QwvWq898pX
Why central banks are reluctant to declare victory over inflation via @FT https://t.co/hDHulFIeCs
Because inflation is well above the actual 0% price stability level Why central banks are reluctant to declare victory over inflation https://t.co/6E7QLfVpF1
From the @FT article on "Why central banks are reluctant to declare victory over inflation" by @Sam1Fleming, @senoj_erialc and @MAmdorsky. (The link to the article: https://t.co/73sTuQx1Gy ) #economy #centralbanks #markets #inflation #econtwitter #ECB #Federalreserve #BoE https://t.co/gksbX8d8wO