Governing Council began by discussing the impact of the war in the Middle East on the global economy and inflation. The conflict had led to a sharp increase in global oil prices and heightened volatility in global energy and financial markets. Growth prospects had deteriorated for many countries, particularly those that are heavily reliant on oil and natural gas imports. Higher energy prices had boosted inflation in countries around the world. In the United States, growth was expected to remain solid in the first quarter. Households continued to spend despite higher gasoline prices, and investment in artificial ... (full story)