War hits global economy with OECD seeing 4.2% US inflationBloombergThe conflict in the Middle East is reviving the specter of inflation and hobbling the global economy just as it was showing signs of strengthening at the start of the year, the OECD said yesterday. OECD Secretary-General Mathias Cormann speaks during a press conference at the OECD Headquarters in Paris, France, on June 4 last year. Without the conflict, the OECD said it could have revised up its global growth forecast by 0.3 point for this year. For the US, the OECD expects inflation to jump to 4.2 percent this year, from 2.6 percent last year. Its price outlook for this year is 1.2 percentage point higher than in December, also because the labor market remains tight with slowing net migration and tariffs are adding upward pressure.

Source: Taipei Times March 26, 2026 17:16 UTC