I remember all the MSM stupidity and propaganda when Yellen was pushing this plan. Haven't heard a peep about it since. I was wondering how it worked out. US Fed.gov woke central-planners and neocons get humiliated. Again. LOL.
$100 oil has only a transitory effect on inflation. Even oil inflation.
If you go to $100 and stay there, that is only one month of oil inflation. A big jump, but the next month it may have 0 jump. Inflation is a measure of rate of change. If the change stops, even at a high level, inflation can be reported 0.
Now, on the other hand, 6% inflation would be far above the Fed’s 2% target, and you can get 6% of oil inflation with just a $0.50 increase in price per barrel per month. That’s pretty modest, but at the end of the year, oil would be $106 for a 6% increase.
It was really the Euro’s who pushed the cap most. It even worked for a while, but then Saudi*, cut back. So, Russia’s oil revenues are stronger. Their gas revenues are still tanked, tho’.
*I saw a Harvard analysis that stated Saudi, if you count the reserves it has partial (or more) control of globally, not just in SA, controls 55% of global reserves. Apparently they did a LOT of foreign investing.