EU's commissioner says the EU will cut its growth outlook and raise its inflation forecast amidst the Iraniar war, noting of a "stagflationary shock", CNBC reports

The EU's commissioner signaling a revised economic outlook is significant as it reflects concerns about rising inflation and stagnant growth, particularly in the context of ongoing geopolitical tensions like the Iran war.

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Iran has given an updated proposal for a deal to end the war, but the White House believes it is not a meaningful improvement and is insufficient for a deal, a senior U.S. official and a source briefed on the issue told Axios.

Newsquawk Daily Economic Releases - 19th May 2026

EU's commissioner says the EU will cut its growth outlook and raise its inflation forecast amidst the Iraniar war, noting of a "stagflationary shock", CNBC reports

President Trump is set to announce this afternoon a "dramatic expansion" of discounted prescription drug offerings available on TrumpRx.gov, a White House official tells CNBC

Iranian President says Iran will not yield to foreign powers, adding that Iran has the right to defend itself

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“We think it’s important that the support measures we take are temporary and targeted, not ones which actually sustain high demand for fossil fuels". 

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This "stagflationary shock" suggests potential challenges for monetary policy, likely leading to more cautious actions from the ECB regarding interest rates, which could impact risk sentiment across markets.

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