Near-term global financial risks are contained, but monetary policy easing could fuel asset price bubbles and markets might be underestimating risks posed by military conflicts and impending elections,

Policymakers in the U.S. and other major economies have quelled the worst inflation in four decades without tumbling into recession, the International Monetary Fund said Tuesday.

The chief economist for the International Monetary Fund (IMF) told reporters on Tuesday that "the battle against inflation is almost won," amid falling inflation data. Pierre-Olivier Gourinchas said that inflation in many countries is now nearing central bank targets.