Eurogroup Chairman Jean-Claude Juncker on Saturday blasted those who speculate on oil and commodities markets for forcing up prices. Juncker, who is also prime minister of Luxembourg, told Luxembourg radio station RTL.
"There is normal market speculation, which to fight against would be ridiculous... then there is abnormal, immoral speculation that you can see quite easily if you look into the markets with your heart.
"It is a disgusting process," added Juncker, who chairs monthly meetings of euro zone finance ministers. Soaring oil and food prices have fuelled inflation across the globe at the same time as economies slow, posing a sharp dilemma for policymakers.
Earlier this week, leaders of the Group of Eight rich nations in Japan agreed on the need to address global inflation, particularly elevated oil and food prices. "Those who have speculated and got it wrong in the context of the subprime crisis are now turning their speculative attention away from financial markets into food and oil markets," said Juncker. "We in the Eurogroup do our bit to forge this alliance against this excessive and sick speculation," he said.
The European Commission has so far played down the role of speculation in forcing up the price of oil and grains, saying it is more an issue of supply and demand. Many other experts agree. World Bank President Robert Zoellick said on Saturday he expected food prices to remain above 2004 levels until at least 2012 and energy prices would also remain high and volatile.