Iran War Ignites Global Stagflation, Paralyzing Central Banks

The Iran conflict's energy disruptions are fueling stagflation risks, with IMF forecasts showing sharper growth downgrades and inflation spikes in emerging markets. Central banks face agonizing trade-offs: tighten against rising prices at the cost of recession, or ease and risk de-anchored expectations. This policy fragmentation threatens productivity, trade, and financial stability worldwide.