Geez, Janet Yellen is short
The European Central Bank is eyeing energy prices and fallout from the Israel-Hamas conflict, President Christine Lagarde told euro-area finance ministers, according to people familiar with the matter cited by Bloomberg.
WTI crude oil is down 72-cents today to $86.97.
It was around this time two years ago that Lagarde brushed off oil prices as an inflationary problem. Just days later, TTF began to soar and create a big problem for the ECB. Last week, TTF rose to $56 from a low of $36 but it’s down to $48 today, off by about 3%. That price is about 65% below where it was in Oct 2023 and half of where it was in Oct 2022.