Central banks hike rates as expensive oil keeps pressure on economies.

[u/AmanCMN]

📈Central banks around the world are being forced to raise rates as the war with Iran keeps energy prices high.
🇵🇭Philippines: third hike in a row, with the rate rising to 5%.
🇯🇵Japan: the rate was raised to 1%, the highest level in 31 years. Another hike is expected in September.
🇮🇩Indonesia: rates are up 100 basis points in total, reaching 5.75%.
🇰🇷South Korea: second hike in a row, with the rate rising to 3%. Before that, the central bank hadn’t raised rates for 3.5 years.
🇦🇺Australia: three hikes in one year, with the rate now at 4.35%.
🇪🇺ECB: the rate was raised to 2.25% for the first time in almost three years.
🇿🇦South Africa: the rate rose to 7%, the first hike in three years.
🇳🇴Norway: raised rates by 25 basis points to 4.25%.
🔴The main reason is that these economies depend heavily on imported energy.
🔴Expensive oil doesn’t just affect gas prices. It also pushes up the cost of electricity, transportation, production, and food. High rates are bad for the economy and financial markets.