Keywords: Eurozone


European central bank survey shows limited signs of second-round inflation effects

A new survey from the European Central Bank (ECB) suggests that rising energy prices linked to geopolitical tensions are not yet translating into broader inflation pressures in the euro area economy. According to the European Central Bank, firms across the eurozone expect inflation to increase in the......

Italy set to become eurozone’s most indebted country, overtaking Greece

Italy is on track to become the most indebted country in the eurozone, surpassing Greece for the first time in years, according to recent fiscal projections. Estimates suggest that Italy’s public debt will peak at around 138.6% of its gross domestic product (GDP) in 2026, slightly above Greece’s......

European Q1 earnings set to rise 4% as energy sector surges

Corporate earnings for companies in the STOXX 600 index are forecast to grow 4 percent in the first quarter of 2026, marking a rebound after a decline in the final quarter of last year, according to LSEG I/B/E/S data cited by Reuters on Thursday. The turnaround is driven primarily by a surge in the energy......

ECB warns euro zone banks near reserve limits as liquidity shrinks

The European Central Bank has warned that banks across the euro area must prepare for tighter liquidity conditions as excess reserves decline rapidly. In a blog post published on April 2, the ECB said nearly half of the banking system will soon operate close to minimum reserve comfort levels. Central......

South Korea posts record $86 billion in exports as global factories stockpile ahead of supply disruptions

South Korean exports reached a record $86.13 billion in March as eurozone manufacturing activity hit a 45-month high, with companies worldwide rushing to build up material stockpiles in response to supply chain disruptions caused by the conflict in the Middle East. South Korea's Ministry of Trade,......

G7 pledges action as energy crisis drives inflation surge in Europe

Finance and energy ministers from the Group of Seven met virtually on Monday alongside central bank governors as Europe faced mounting economic pressure from the energy shock linked to the conflict involving Iran. New data showed German inflation rising to its highest level in over a year, underscoring......

Lagarde warns Iran war energy shocks could last years amid ECB rate hike debate

The European Central Bank faces classic stagflation pressures from the Iran war: surging energy prices pair with stagnant growth, forcing rate hike considerations officials hoped to avoid. ECB President Christine Lagarde told The Economist in a Thursday interview that conflict-linked energy disruptions......

Central banks worldwide raise inflation forecasts amid Iran war energy shock

Central banks across the globe have lifted their inflation outlooks less than a month after U.S. and Israeli forces struck Iran on February 28. The conflict's economic fallout spreads as energy prices soar and supply chains disrupt. Governments activate emergency measures to counter the crisis [reuters.com]. France's......

Lagarde warns businesses may pass on Iran war energy costs faster than in 2022

European Central Bank President Christine Lagarde warned Wednesday that companies and workers could transmit rising energy costs stemming from the Iran conflict more rapidly than they did during the 2022 inflation surge, because the memory of that episode remains fresh. Speaking at the ECB and Its Watchers......