Analysis: The European Central Bank is expected to raise interest rates, but the weak economy has made the outlook uncertain.

Joe Nellis of MHA stated in a report that the inflation rate in the Eurozone rose to 3.2% in May, increasing pressure on the European Central Bank to raise interest rates next week. He said: "Against the background of ongoing service sector inflation and wage growth, businesses passing on costs, and global turmoil pushing up energy and transportation costs, core price pressures remain strong." "Before this war, the market had expected the European Central Bank to cut interest rates to support the weak economy." "Even a small rate hike could trigger concerns about the prospects for the Eurozone, which fully demonstrates the core structural issues of the economy in that region." Nellis said that the European Central Bank may raise interest rates next week, but given the uncertainties faced by businesses, households, and governments, the future outlook remains uncertain.