BCA Research says that current worries about inflation should soon subside.

In a new research note the firm notes that core inflation in the OECD economies remains under 2% and is unlikely to move higher.

“Inflation fears have gripped financial markets given high commodity prices, years of easy money and solid global economic growth. Yet core inflation in the advanced economies is still remarkably low,” BCA says.

It reports that OECD core inflation was 1.9% in April, comparable to the average during the past year. Among the G7 economies, the U.S. has the highest core inflation rate, which has edged up to 2.3%, it notes.

“Still, there is no evidence yet that high energy and commodity prices are leaking into core inflation and we doubt it will do so as global growth moderates in the months ahead,” it concludes. “We continue to believe the current inflation ‘scare’ will soon pass.”