HSBC warns central banks will raise rates amid US-Iran supply shocks, with ECB and BoE hikes expected in June-July 2026 as oil tops $126 per barrel.

The data highlight the conundrum for the ECB. Price pressures are of clear concern, but weak activity data question whether the ECB needs to hike rates as much as markets have…

“Failing to take a stitch in time meant they ultimately had to raise a lot more. It is now about credibility.”