"Energy shock, especially in Europe, is not a transitory shock," Pierre-Olivier Gourinchas, Economic Counsellor and Director of Research of the International Monetary Fund (IMF), said while presenting the World Economic Outlook on Tuesday, as reported by Reuters.

"Geopolitical realignment of energy supplies in wake of war is both broad and permanent," Gourinchas added and noted that time may soon run out for solving emerging market debt problems through the G20 framework.

Market reaction

The US Dollar Index ignored these comments and was last seen posting modest daily gains at around 113.00.