Oliver Mangan: Inflation proving tough to crack   

A tight labour market putting upward pressure on wages along with weak supply output in areas such as housing could make restoring price stability a tough challenge for central banks 

Tight labour markets are already putting upward pressure on wages in many economies, especially in services sectors, which could keep core inflation rates elevated.

Recent inflation data have been disappointing, especially in regard to core measures. It started in the US, with the latest data for core inflation, which excludes food and energy, posting unexpectedly large monthly increases, leaving the annual rate stuck around 4.7%.

Meantime, February inflation data for the eurozone were much poorer than expected, with the annual rate of 8.5% being well above the projected fall to 8.2%.