Oil price surge prompts inflation action in Asia

Asian central banks are expected to raise interest rates this week to combat the soaring price of oil.

Brent crude is now trading at $114 per barrel and the Bank's of Thailand and Korea are understood to be preparing to boost interest rates by a quarter percentage point, according to Bloomberg. Asian currencies are also set to rise as a result of the US Federal Reserve holding back from lifting its interest rates from almost zero, with South Korea's won and Malaysia's ringgit placed to gain versus the dollar. The Asian Development Bank also says economies across the region are resilient enough to absorb the impact of faster inflation. Meanwhile Japanese shares saw mixed results on T...