[European Central Bank Set to Raise Interest Rates, Leading G7 in Tackling Inflation from Iran Conflict] Jin10 News, June 7 – As the Iran conflict triggers global inflationary pressures, the European Central Bank (ECB) is expected to raise interest rates by 25 basis points next week, becoming the first major central bank in the G7 to tighten monetary policy. The market anticipates at least one more rate hike later this year. In contrast, the Bank of Canada is likely to keep rates unchanged, while the Federal Reserve and the Bank of England are expected to hold steady this month, observing the impact of the Iran conflict. ECB officials aim to ensure that inflation in the Eurozone does not become entrenched, but the rate hike will come at the cost of further dragging down an already weak economy. President Christine Lagarde may provide clearer signals on the next steps during the press conference following the decision. Meanwhile, the ECB will also release its quarterly economic forecasts to assess different scenarios of how the energy shock is impacting the regional economy.