Trichet urges close attention to oil prices

High oil and commodity prices demand close attention, and should not be ignored when measuring true inflation levels in the euro zone, European Central Bank President Jean-Claude Trichet said yesterday.

“The phenomenon we are observing is very important and we have to understand it. One of our provisional conclusions is that we are in some kind of supply shock but also very much a demand shock with the emergence of new giants,” Trichet said.
Gulf Daily News