ECB Warns Iran Conflict Could Spark Euro-Area Inflation Surge
European Central Bank flags geopolitical tensions as major threat to price stability across eurozone economies.
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European Central Bank flags geopolitical tensions as major threat to price stability across eurozone economies.
Germany's second consecutive month of private-sector decline amid geopolitical tensions raises concerns about eurozone stability and potential ECB intervention.

The US-Iran war lifted euro firms’ price and cost expectations, forcing the ECB to watch behavior—not just inflation data.
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ECB’s Nagel warns of a June rate hike if inflation and wage pressures don’t improve, signaling a hawkish pivot in eurozone policy.

Eurozone's steady PMI conceals persistent inflation, forcing the ECB to reconsider aggressive rate cuts in 2026 to protect price stability.