Global Markets on Edge as Central Banks Meet Amid Ongoing Iran Conflict

Central bank chiefs from around the world are gathering at the Federal Reserve's Jackson Hole symposium in Wyoming, but the agenda is far from clear. Fed Chairman Kevin Warsh has spent his first weeks as chair focusing on long-term structural issues facing the US economy.

Away from Wyoming, several other key events will shape global markets this week. Inflation readings are expected to show a prolonged closure of the Strait of Hormuz and crude prices pushing higher, adding to concerns about the global inflation outlook.

The prolonged conflict in Iran has led to surging energy prices, with Brent at risk of its second straight weekly gain and European diesel prices up 70% since the outbreak of war. US gasoline is also up 60%, leading to concerns that energy-driven inflation will persist.