ECB May Raise Rates in June Over Iran Oil Shock

ECB Chief Economist Philip Lane said a June rate hike may be needed to curb inflation from Iran war‑driven fuel price spikes.
Lane warned the supply shock could spill over to wages and broader prices, potentially harming growth in energy‑importing euro‑zone economies.
Some policymakers view the June hike as the first of multiple increases, despite its negative impact on economic growth.
Lane noted firms and consumers are more price‑sensitive after high inflation post‑COVID‑19 and Russia’s Ukraine invasion.