Strategist Warnings of War Impact on European Stocks Grow Louder


Meanwhile, the European Commission issued new grim forecasts for growth and inflation. Output will rise 0.9% in 2026, trailing last year’s 1.4% expansion, and 0.3 percentage points lower than expected in November. Inflation is projected to average 3% in 2026, a jump from the 1.9% forecast previously, and well above the ECB’s 2% target.



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