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Oftentimes, when the financial markets are hit by bad news, policymakers scramble to calm them. That happened today in response to last night's soaring oil prices (chart).
(1) G7 response. To address the market turmoil following the escalation of the conflict in the Middle East, the G7 Finance Ministers and Central Bank Governors held an emergency virtual meeting today. The group's primary strategy was to signal a "managed urgency" to prevent a sustained global energy shock.
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