Eurozone

Europe inflat

2026-09-30 14:46:49

Hotter-than-expected September inflation across Europe cuts bets on an ECB October rate hike

A fresh rise in energy prices pushed inflation higher across Europe’s biggest economies in September, with data from Germany, France, Italy and Spain all coming in above expectations. Spain’s inflation rate reached 5%, its highest level since 2023, according to the news brief cited by ChainCatcher. Fuel costs were identified as the main driver behind the move. The report said the latest price pressure could lift overall eurozone inflation toward 4%. Markets had been looking for September inflation in the euro area at 3.7%. Even so, stronger-than-expected readings from several countries led investors to reduce their bets that the European Central Bank would raise interest rates in October. The move highlights a gap between the inflation surprise and shifting expectations around near-term ECB policy.

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ECB

2026-09-15 14:42:56

ECB calls on eurozone merchants to join digital euro pilot ahead of possible 2029 launch

The European Central Bank has called on e-commerce and mobile commerce merchants across the euro area to take part in a digital euro pilot, according to CoinDesk. The program is intended to prepare the region for a possible 2029 rollout of a retail central bank digital currency. The pilot will test the technical setup, operational processes and user experience of a beta version that resembles the digital euro but is not legal tender. The trial is set to run for 12 months starting in the second half of 2027. Any final launch would still depend on legislation and a separate decision by the ECB’s Governing Council. In recent weeks, the ECB had already selected 36 banks and payment institutions for the testing phase. The new pilot will involve the ECB, the national central banks of 19 euro area countries and selected merchants, with central bank staff acting as users across person-to-person online and offline transfers, in-store payments, e-commerce payments and mobile commerce transactions. ECB President Christine Lagarde said a digital euro is necessary to protect Europe’s monetary sovereignty and reduce reliance on dollar-pegged stablecoins. The ECB has argued that the spread of private dollar stablecoins such as Tether’s USDT and Circle’s USDC poses a risk to Europe’s monetary autonomy. Isadora Arredondo, Hedera’s global policy vice president, said commercial viability will matter most and merchants may need incentives, including lower payment acceptance fees.

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Eurozone

2026-09-10 10:15:45

Eurozone bond yields stay elevated ahead of ECB decision, with 25-basis-point hike expected

Eurozone government bond yields remained elevated ahead of the European Central Bank’s policy decision, with analysts expecting the central bank to raise rates by 25 basis points. Germany’s 10-year government bond yield rose to 3.44% after earlier touching 3.4514%, its highest level since 2011. Markets are also pricing the ECB deposit rate at 2.74% by December, above the current 2.25%. The moves reflect firm expectations for additional policy tightening before year-end.

940

ECB

2026-09-02 04:17:02

ECB's Makhlouf Says Further Rate Hikes Possible if Inflation Moves 'Wrong Way'

According to a Financial Times report on September 2, European Central Bank Governing Council member Makhlouf said the ECB should not shy away from further rate increases if inflation starts moving in the 'wrong direction.' He said euro-area inflation is hovering above 3% and economic growth has come in slightly stronger than projected before the summer, a combination he described as 'unsettling.' Makhlouf said that even if the benchmark deposit rate climbs to 2.5%, monetary policy would not yet be restrictive for economic activity; genuinely restrictive policy would only emerge once rates exceed 2.75%. He also predicted the ECB would modestly upgrade its euro-area growth forecast this year. About next week's policy decision, Makhlouf said it is not yet clear whether an additional hike would be needed after the rate increase, and argued the ECB should stick to its meeting-by-meeting approach and avoid forward guidance. He added that inflation expectations remain in good shape, with no signs wages are producing second-round inflation effects, and that related risks are under control.

840

Eurozone

2026-08-05 08:07:47

Euro Zone Business Activity Hits 8-Month High as Composite PMI Returns to Expansion

A survey reported by Jinshi shows euro area business activity reached an eight-month high in July, helped by a service-sector recovery and continued improvements in manufacturing. S&P Global's euro area composite PMI rose to 52 from a neutral 50 in June, the first reading in expansion territory since March. The services PMI advanced to 51.7 in July, the highest in five months, up from 49.4 in June.

1730

European Cent

2026-08-03 08:08:56

ECB bulletin says euro zone household spending fell after outbreak of Iran war

According to a Jin10 report cited by ChainCatcher, the European Central Bank said in its economic bulletin released Monday that household consumption in the euro area fell sharply after the outbreak of the Iran war, with the drop mainly tied to a steep deterioration in consumer confidence. In April this year, the decline in consumption reached twice the level implied by historical trend forecasts, and the scale of the impact was comparable to the response seen after the outbreak of the Russia-Ukraine conflict in early 2022. The bulletin said nominal consumption growth in the euro area had averaged around 3% to 4% since mid-2024, but slowed to about 2.5% year over year in April. The slowdown was driven mainly by higher-income households cutting non-essential spending.

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Eurozone

2026-07-31 12:42:53

Oxford Economics analyst says eurozone inflation risks remain elevated, strengthening case for a September rate hike

According to Jin10, Oxford Economics analyst Iain Simmons said eurozone inflation is still running above target and continues to face material risks. He said headline inflation rose by 0.1 percentage point in July to 2.9% as energy prices stayed high after tensions in the Middle East intensified. Simmons added that the risk of broader inflation effects has increased sharply since the breakdown of the Iran ceasefire agreement, which in his view strengthens the case for a rate hike in September. Even so, he said the inflation data so far point to a relatively mild response to the escalation in the Middle East, and that second-round wage effects later this year may remain limited. The remarks focus on inflation risks, energy-driven price pressure, and the policy implications for the eurozone’s September rate decision.

2020

ECB

2026-07-23 09:30:15

ECB Delivers First Rate Hike Since 2023, Lifts Key Rates by 25 Basis Points

The European Central Bank raised its three key rates by 25 basis points, its first hike since 2023, after higher energy prices pushed euro area inflation higher and led policymakers to revise forecasts.

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