Spain inflation rises to 3.5% in April as Iran war drives energy prices higher

7 articles · Updated · MarketWatch · Apr 29

The annual inflation rate reached its highest since June 2024, with consumer prices up 3.5% year-on-year, according to Spain's INE. Brent crude oil has surged above $110 a barrel.
The inflation jump follows the outbreak of war in Iran, causing energy prices to soar and uncertainty over the Strait of Hormuz. The ECB is expected to keep interest rates on hold amid ongoing volatility.
The Bank of Spain and ECB have raised inflation forecasts for 2026 and 2027, warning that prolonged conflict could push prices even higher. Economists say inflation could peak at 4.8% in 2027 if the crisis persists.

Can Spain’s strong economy survive the dual shocks of the Iran war and rising interest rates?

Is the ECB hiking rates to fight the wrong war against a geopolitical energy shock?

Beyond central bank action, what are the real solutions to the energy-driven inflation crisis?

With a key strait blocked and oil over $110, is a global recession now inevitable?

How will the UAE’s sudden exit from OPEC+ reshape the unfolding global energy crisis?

How will the Hormuz blockade permanently alter global energy alliances and trade routes?