European Central Bank (ECB) Chief Economist Philip Lane warned that a second surge in energy prices will push Eurozone inflation higher and keep it elevated longer than initially anticipated. In an interview with Swiss daily Le Temps published on the 22nd, he assessed that a so-called "second energy shock"—with gas prices rising in tandem with oil prices—is exerting broad-based pressure across the price spectrum. Lane said, "We are currently witnessing a second surge not only in oil prices but also in gas prices," adding that "this second energy price increase will make inflation higher and more persistent." He also projected that inflation will not begin descending toward the ECB's 2% target until after mid-2027.
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