Sam Haider, Director of Financial Market Risk at ABN AMRO Clearing, said that continued geopolitical risks will lead to sustained increases in oil prices, raising the risks of higher inflation rates.

Haider added, in an interview with Al Arabiya Business, that the core inflation rate is also continuing to rise, supporting expectations of monetary policy tightening and higher interest rates.

He explained that the US Federal Reserve has announced that fighting inflation is its top priority, but there are concerns about the risks of economic recession in the United States as economic growth rates slow.

Haider said that markets expect a new rise in the inflation rate due to higher energy prices, putting pressure on monetary policy in the United States.

He added that the rise in the inflation rate in the coming period may push the US Federal Reserve to raise interest rates before the end of this year.

He explained that the European Central Bank will adopt a hawkish tone at its upcoming meeting, amid expectations of not raising the interest rate and being satisfied with the increase approved at the previous meeting, awaiting economic developments in the coming period.

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