ECB set to hike as Iran war fuels fresh inflation fears
Economists expect the ECB to raise its policy rate to 2.50 per cent from 2.25 per cent.
The European Central Bank (ECB) is expected to raise interest rates by the end of September 2026, as the ongoing Iran war fuels fresh inflation concerns. Military attacks from both sides have disrupted oil and gas supplies, causing prices to soar once again and reigniting fears of a wave of price hikes in the euro zone. Economists anticipate the ECB will increase its policy rate to 2.50% from 2.25% on September 10, with further tightening possible if inflation does not improve.
ECB President Christine Lagarde is expected to maintain a hawkish stance, leaving room for additional rate hikes before her tenure ends in October 2027.
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- ECB set to hike as Iran war fuels fresh inflation fears businesstimes.com.sg
- Stocks slide as Iran war drives oil higher, revives inflation fears qatar-tribune.com
