Inflation is not fading on a single global tide; an energy shock has pushed prices back up unevenly, and the most exposed households feel it worst.
Analysis
Key Facts
—What this is about. After two years of falling prices, consumer inflation is quietly rising again in mid-2026, driven by a fresh energy shock tied to conflict in the Middle East.
—Europe. Eurozone inflation climbed to 3.2%, its highest since 2023 and above the European Central Bank’s 2% target, with energy costs up almost 11% over the year.
—The ECB’s answer. Rather than cut interest rates, the ECB raised them on June 11 to lean against the resurgence.
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