Machl: Tight monetary policy does not help to address supply-driven inflation.

Thierry Wizman of the Macquarie Group stated in a report that the longer oil prices remain high, the more central banks around the world will feel obligated to show signs of tightening policy. "However, 'tightening bias' policies taken to combat supply-side inflation have been proven to cause much greater financial pressure compared to monetary policies taken to combat demand-driven inflation," said the global foreign exchange and interest rate strategist. He said that through the channel of monetary policy, war and "financial pressure" are closely linked, and there is currently a serious empirical trade-off between price stability and financial stability.