# Middle East war: central banks flag energy prices

> The Bank of England, the Riksbank and Norges Bank all pointed to the Middle East war and energy prices in their decisions this week. EIA data put Brent at $107.03 a barrel on 3 November, from $120.15 on 30 October.

- Canonical URL: https://forextradingcommunity.com/news/middle-east-war-central-banks-flag-energy-prices-november-2026/
- Type: Markets
- Published: 2026-11-06
- Updated: 2026-11-06
- Publisher: Forex Trading Community (https://forextradingcommunity.com), FTC Editorial Team
- Currencies: USD, EUR, GBP

Three central banks that decided this week each named the conflict in the Middle East as a source of energy and inflation pressure. Their statements are the clearest official account of how the conflict is reaching the economies whose currencies traders follow.

## What the central banks said

- **Bank of England (5 November)**: the conflict in the Middle East "is now in its ninth month" and global energy prices have kept rising. UK inflation, 3.5% in September, is expected to rise to around 5% by the middle of next year. The Bank raised its rate to 4% ([decision](/news/bank-of-england-raises-bank-rate-to-4-percent-november-2026/), [Bank of England](https://www.bankofengland.co.uk/monetary-policy-summary-and-minutes/2026/november-2026)).
- **Riksbank (4 November)**: global inflationary pressures remain elevated because of supply disruptions linked to the war, and energy prices have risen further. It raised its rate to 2% ([decision](/news/riksbank-raises-policy-rate-to-2-percent-november-2026/)).
- **Norges Bank (5 November)**: the conflicts are still creating substantial uncertainty about the inflation outlook. Oil spot prices have fallen, while futures prices have risen somewhat, and gas and electricity prices have moved up. It held its rate at 4.5% ([decision](/news/norges-bank-holds-policy-rate-4-5-percent-november-2026/)).

## Energy in the data

- **Euro area consumer prices**: energy inflation of 20.8% in October, in Eurostat's flash estimate ([report](/news/euro-area-inflation-october-2026-flash-4-0-percent/)).
- **Euro area producer prices**: energy up 30.8% on the year in September ([report](/news/euro-area-producer-prices-september-2026-2-5-percent/)).
- **Brent crude**: the US Energy Information Administration's Europe Brent spot price was $120.15 a barrel on 30 October, $107.39 on 2 November and $107.03 on 3 November ([EIA, Brent spot price](https://www.eia.gov/dnav/pet/hist/RBRTED.htm), released 4 November).

The fall at the start of November shows in spot prices; Norges Bank's note that futures rose is a reminder that the two can move apart. For trading oil, see [how to trade oil: WTI and Brent](/news/how-to-trade-oil-wti-brent/). Live prices: [Brent crude](/markets/brent-crude-oil/).

## Sources

- [Bank of England: Monetary Policy Summary and minutes, November 2026](https://www.bankofengland.co.uk/monetary-policy-summary-and-minutes/2026/november-2026)
- [Riksbank: Policy rate raised to 2 per cent, press release, 4 November 2026](https://www.riksbank.se/globalassets/media/nyheter--pressmeddelanden/pressmeddelanden/2026/261104_nr1-upp/prm-4-november-2026-policy-rate-raised-to-2-per-cent.pdf)
- [Norges Bank: Policy rate kept unchanged at 4.5 percent, 5 November 2026](https://www.norges-bank.no/en/news-events/news/Press-releases/2026/2026-11-05-rate/)
- [US Energy Information Administration: Europe Brent spot price FOB, daily (released 4 November 2026)](https://www.eia.gov/dnav/pet/hist/RBRTED.htm)

## Common questions

### How is the Middle East war affecting inflation?

The Bank of England, the Riksbank and Norges Bank all cited energy prices linked to the conflict in their November 2026 decisions. The Bank of England expects UK inflation to rise to around 5% by the middle of 2027.

### What was the Brent oil price in early November 2026?

The EIA's Europe Brent spot price was $107.39 a barrel on 2 November and $107.03 on 3 November 2026, down from $120.15 on 30 October.

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This article is for information only and is not financial advice. Trading forex and CFDs carries a high risk of losing money.