CENTRAL BANKS FOCUS ON FUEL PRICES AS INFLATION RISK Central banks are increasingly watching refining margins, or “crack spreads,” as fuel…
CENTRAL BANKS FOCUS ON FUEL PRICES AS INFLATION RISK
Central banks are increasingly watching refining margins, or “crack spreads,” as fuel shortages push gasoline and diesel prices higher.
Bank of England Governor Andrew Bailey said refined fuel prices may provide a better inflation signal than crude oil alone.
Wars in Iran and Ukraine have disrupted refining and exports, widening diesel margins sharply.
The BOE estimates higher energy costs could add 0.4 percentage points to inflation in the second half of 2026.