Iran peace not stopping central banks from raising borrowing costs

The Iran war has pushed up energy prices and renewed inflation worries, prompting major central banks (led by the Fed) to lean toward interest‑rate hikes rather than looking past the shock.
Even if a temporary peace holds, damaged infrastructure and depleted oil stocks mean energy market normalisation could stretch into next year, keeping prices and uncertainty elevated.
The Fed’s hawkish shift is rippling globally — a weaker yen and market pricing for more rate moves are putting pressure on the BOJ, BoE and other central banks to act.