Economic impact of the Iran military conflict on Europe

One month after the onset of the military campaign led by Donald Trump in Iran, Europe is facing significant economic pressure. The conflict has triggered a rise in oil and gas prices, fueled by concerns over supply security through the Strait of Hormuz. European countries, particularly Germany and Italy, are reviewing their economic growth forecasts downwards as inflation accelerates. High energy costs are impacting industrial sectors, such as the German chemical industry, and increasing operational expenses for transportation. The European Central Bank has warned that the crisis may have long-term implications, with central banks considering interest rate hikes to combat inflation. Households face reduced purchasing power as firms pass on increased costs to consumers. Governments are evaluating measures similar to those used during the Ukraine conflict to support households and businesses. The overall outcome of the campaign remains uncertain, with market climate indices reflecting growing pessimism.