Markets brace for calmer geopolitics yet oil and inflation risks still loom for investors

Published on 8 May 2026

Oil remains elevated and could keep central banks hawkish

Global equities are taking a more optimistic view as investors price in easing geopolitical tensions and move past recent volatility. But Peter Cardillo warns that persistently high oil prices could keep inflation elevated, reducing the chances of quick rate cuts. That may force central banks to stay hawkish longer than markets expect.

Investors are already pricing in less geopolitical stress
Elevated oil prices are the main inflation wildcard
Central banks may stay hawkish longer than expected
Markets may be overlooking a key macro risk

#inflation #central banks #geopolitics #global markets #oil prices

Read the full story at The Economic Times

This summarization was done by Beige for a story published on The Economic Times

Markets brace for calmer geopolitics yet oil and inflation risks still loom for investors

The full experience is on mobile.