EU WARNS IRAN CONFLICT WILL TRIGGER STAGFLATION SHOCK European Union is set to cut growth forecasts and raise inflation projections, citing a “stagflationary shock” from the Iran war, according to Commissioner Valdis Dombrovskis. He warned that oil prices above $100 and strained supply via the Strait of Hormuz are driving weaker growth, higher inflation, and limited policy flexibility. The EU also cautioned that prolonged conflict could worsen energy bottlenecks and keep pressure on inventories and prices into 2027.(*Walter Bloomberg)