Business
Euro holds near seven-week high as sentiment improves and ECB cut bets fade
The single currency trades above $1.08 as German business confidence recovers and markets price fewer rate cuts, but export sectors warn of competitiveness risks.
Topic · Organization
European Central Bank
The European Central Bank (ECB) sets monetary policy for the euro area and supervises significant banks. Its Governing Council meets roughly every six weeks.
Latest analysis
Europe
ECB study reveals Europeans hunt jobs from fear, Americans for pay
Only 13% of employed euro-area workers actively search for a new post versus 19% in the US, but the motivation gap is wider than the participation gap.
Business
ECB holds rates at 2.25% but traders bet on September hike as energy prices surge
The European Central Bank left its key rate unchanged on Thursday, yet Christine Lagarde warned that Middle East conflict could push inflation above target until 2027, prompting markets to price in a quarter-point increase in September.
Business
EU prepares banking deregulation to close gap with Wall Street
The European Commission will unveil proposals on Friday to cut capital requirements and ease cross-border mergers, responding to a decade of US dominance in investment banking and capital markets.
Europe
Hormuz conflict forces ECB to weigh rate hold as oil surges past $85
Renewed US-Iran strikes over the Strait of Hormuz have pushed Brent crude above $85 a barrel, scrambling market expectations for the ECB's July 22 meeting and reviving fears of a second inflation spike.
Europe
EU lawmakers approve digital euro negotiations, targeting 2029 launch
European Parliament backs mandate for talks with member states on legal framework; ECB aims for citizen access in 2029 after pilot in mid-2027, with €3,000 holding limit proposed to calm bank deposit fears.
Technology
European regulators warn AI development outpacing financial rules
Top officials from the ECB, Bank of England and FCA say traditional rulemaking cannot match the speed of agentic AI, while Europe risks falling further behind in frontier technology investment.
Politics
Lagarde signals possible early ECB exit as French presidential race looms
ECB president tells Les Echos she may leave before her 2027 term ends to inject a European voice into a French campaign dominated by the far-right National Rally.
Politics
Digital euro trilogue enters decisive phase as banks and Parliament clash over design
Negotiators face four critical choices on holding limits, distribution, funding and privacy that will determine whether the currency serves the public or protects bank margins.
Europe
European Parliament committee backs digital euro draft rules
The economic and monetary affairs committee approved the legislative framework after three years of negotiation, clearing a path for a 2029 launch if member states and the full parliament agree by year end.
Europe
European Parliament committee backs digital euro to break US payment dominance
Economic and monetary affairs committee votes to advance legislation after years of deadlock, with MEPs framing the project as a geopolitical necessity rather than a purely monetary one.
Technology
EU parliament committee backs digital euro to break US payment dominance
The European Parliament's economic committee approved the legal framework for a central bank digital currency, setting up a plenary vote next month and a potential 2029 launch.
Europe
ECB raises deposit rate to 2.25% as Iran war drives inflation to 3.2%
The European Central Bank lifted its benchmark deposit rate by a quarter point for the first time since September 2023, citing energy price shocks from the Middle East conflict that have pushed eurozone inflation well above target.
Europe
ECB raises rates for first time since 2023 as Iran war drives inflation
Deposit rate moves to 2.25% with markets pricing two more hikes by spring 2027, but Deutsche Bank warns the tightening cycle will stop after September as growth weakens.
Europe
ECB set to raise rates as energy shock keeps inflation above target
The European Central Bank is expected to lift its deposit rate to 2.25% on Thursday, confronting a renewed surge in energy costs that has pushed headline inflation to 3.2% and core inflation to 2.5% in May.
Europe
ECB poised for first rate rise of 2026 as ministers push stalled capital markets union
Governing council meets Thursday with markets pricing a quarter-point move while finance ministers gather in Luxembourg to revive the long-delayed plan for a single EU capital market.
Europe
Euro zone inflation climbs to 3.2% as Iran war keeps energy costs elevated
May flash estimate exceeds ECB target by more than a percentage point, locking in expectations of a rate hike at next week's meeting while Germany, France and southern members diverge sharply.
Europe
ECB faces warnings of recession risk if it raises rates in June
Senior economists argue the central bank is misreading stagflation driven by energy costs and risks turning a slowdown into a contraction.
Europe
Latvian ECB governor signals rate hikes as Middle East war keeps oil prices elevated
Mārtiņš Kazāks says energy shock from Strait of Hormuz closure pushes euro area between baseline and adverse scenarios, while dismissing hopes that Russian economic pain will end Ukraine war.
Politics
Mario Draghi receives Charlemagne Prize for stabilizing euro and shaping EU competitiveness agenda
German Chancellor Friedrich Merz honored the former ECB president and Italian prime minister in Aachen, citing his crisis leadership and the 2024 Draghi Report as a blueprint for European renewal.
Europe
ECB's Demarco signals rate hikes likely as oil shock persists
Bank of Malta governor breaks with dovish colleagues to warn that even a ceasefire may not lower energy prices enough to avoid tightening at June meeting.
Europe
ECB holds rates at 2% as inflation jumps to 3% on energy shock
The European Central Bank left its deposit facility rate unchanged despite April inflation surging to 3% and the Iran war driving energy costs higher, signalling a June hike remains possible but not guaranteed.
Europe
ECB and Bank of England set to hold rates as Iran conflict fuels stagflation fears
Both central banks meet Thursday with inflation above target but growth weakening; economists expect a pause now and a possible ECB hike in June while the BOE may stay on hold all year.
Business
ECB holds fire on rates as Hormuz uncertainty clouds April meeting
Markets price a June hike but policymakers insist on meeting-by-meeting approach with Strait of Hormuz blockade creating 'layer cake of shocks' risk
Europe
Eurozone inflation jumps to 2.5% as Iran war drives energy costs higher
March data shows the sharpest annual price rise in over a year, forcing the ECB to weigh rate hikes against an economy already strained by expensive energy.
Europe
Euro zone inflation surges to 2.5% as energy shock from Iran conflict hits
Preliminary Eurostat data shows headline inflation breaching the ECB target in March, driven by a 4.9% jump in energy costs after the Strait of Hormuz closure.
Europe
European economic sentiment slumps to 96.7 as Iran war drives consumer confidence to 2023 low
Preliminary European Commission data shows the sharpest monthly deterioration since the war began, with employment expectations weakening across retail, services and industry while the ECB warns of stagflation risks.
Europe
ECB signals rate hike readiness even for temporary inflation spike from Iran war
Christine Lagarde says a 'not-too-persistent' overshoot could warrant policy tightening as energy shock pushes 2026 forecast to 2.6% and severe scenario sees 6% peak
Europe
European central banks hold rates as Iran war upends inflation outlook
The ECB, Bank of England, Swiss National Bank and Riksbank all kept policy unchanged on Thursday, citing material upside risks to inflation from surging energy prices triggered by the conflict in Iran.
Europe
Iran conflict revives rate-hike talk but 2022 crisis shows fiscal tools worked better
Gas prices have nearly doubled since Friday's attacks on Iran. The ECB says it will monitor but not yet act, yet the last energy crisis showed monetary policy was slow, blunt and damaged the green transition while corporate profits drove two-thirds of inflation.
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