ECB’s Guindos Says Long Iran War Could Shift Price Expectations

European Central Bank Vice President Luis de Guindos said a prolonged conflict in the Middle East would risk pushing inflation expectations higher.

The duration of the war in Iran will be key in determining whether the ECB must take action, Guindos told an event in Brussels. Analysts say fighting that stretches beyond a month could be problematic for Europe, which would have to absorb higher energy costs.