EU AT RISK OF STAGFLATION FROM IRAN WAR The Iran war threatens stagflation in the EU, says Economy Commissioner Valdis Dombrovskis. Short-term energy disruptions could cut growth by 0.4 points and raise inflation by 1 point, while prolonged disruption might reduce growth by 0.6 points this year and next. The EU’s November forecast projected 1.4% growth for 2026. Dombrovskis warned of “profound uncertainty” and stressed these figures are scenario-based, not predictions, but acknowledged the risk of a stagflationary shock to the bloc’s economy.(*Walter Bloomberg)