The economic spillover from high energy prices
The World Bank and International Monetary Fund are out with fresh warnings about the energy commodity run-up, but both also see some relief ahead.
Driving the news: The IMF, in a post on Thursday, projects prices will moderate in the coming months, but also says, "uncertainty remains high and small demand shocks could trigger fresh price spikes."
- The bank's new commodities outlook says on a yearly basis, prices are projected to rise over 2% next year after this year's 80% jump, though Reuters notes they see prices declining in the second half of the year.
Threat level: The bank report says increasing prices "pose significant inflation risks" in many emerging markets and developing countries, and "could weigh on growth in 2022 among energy-importing countries."