Europe’s central bank pulled two ways by war in Ukraine

By The Associated Press

The war in Ukraine is squeezing the European Central Bank between conflicting pressures, propelling energy prices and inflation higher while exposing Europe to a potential hit to economic growth. And that means the bank’s governing council and President Christine Lagarde are likely to hold off on major changes Thursday and stress flexibility on whether they can stick with their roadmap for ending economic stimulus programs. The bank’s policy meeting is takes place as Europe faces higher and more persistent inflation than expected, which which could call for less stimulus efforts. At the same time, Europe’s exposure to the war means there’s a chance of weaker growth, which would require more stimulus.