Consumer prices in the euro zone increased by 2.5% year-on-year in March, up from February's 1.9%, according to preliminary <a href="https://ec.europa.eu/eurostat/en/web/products-euro-indicators/w/2-31032026-ap">data </a>from Eurostat. This is the highest level since January 2025, Bloomberg <a href="https://www.bloomberg.com/news/articles/2026-03-31/euro-zone-inflation-jumps-most-since-2022-as-war-drives-energy?srnd=homepage-europe&amp;embedded-checkout=true">calculated</a>.

Eurozone inflation shows sharpest jump since 2022

NIKE, Inc.

Investors' attention during this shortened trading week due to the Easter holidays will be attracted primarily by the latest data on employment in the U.S. and inflation in the euro zone: they will give an idea of the impact of the war in Iran and the jump in energy prices on the largest Western economies, <a href="https://www.wsj.com/economy/week-ahead-for-fx-bonds-u-s-jobs-eurozone-inflation-data-could-reveal-middle-east-war-impact-007b3494?mod=central-banking_news_article_pos5#:~:text=U.S.%20jobs%20data%20and%20eurozone%20provisional%20inflation%20figures%20for%20March%20will%20attract%20attention%20in%20the%20coming%20week%20as%20data%20begins%20to%20give%20a%20picture%20of%20how%20the%20war%20in%20the%20Middle%20East%2C%20and%20particularly%20the%20surge%20in%20energy%20prices%2C%20has%20affected%20economies.">writes</a> The Wall Street Journal.

US employment, European prices and Nike report: what investors need to know this week

While the European Stoxx 600 has lost 8.6% since the start of the war in the Middle East, the energy sector of the index has added 10%

Morgan Stanley expects the rally in the energy sector in Europe to continue

Carnival Corporation & plc

PDD Holdings Inc.

GameStop Corp.

This week, investors will focus on developments in the Middle East and the dynamics of energy prices. A key indicator of how the war in Iran has affected market sentiment will be the preliminary data on business activity (PMI) for March in the U.S. and Europe, <a href="https://www.wsj.com/economy/week-ahead-for-fx-bonds-pmi-data-to-show-middle-east-wars-impact-on-sentiment-6fd000aa?mod=economy_feat3_central-banking_pos2#:~:text=View%20more-,Provisional%20purchasing%20managers%E2%80%99%20surveys%20for%20March%20in%20the%20U.S.%20and,since%20the%20conflict%20began%2C%E2%80%9D%20Deutsche%20Bank%20economists%20said%20in%20a%20note.,-Inflation%20data%20from">writes</a> The Wall Street Journal. "This is important because it is one of the first economic indicators covering the period since the conflict began," the Journal quotes a note to Deutsche Bank clients.

Iran war, business sentiment and Gamestop: what investors need to know this week

Deutsche Bank Aktiengesellschaft

UniCredit S.p.A.

Raiffeisen Bank International AG

So far, the indicator is holding within the ECB's target, but analysts fear a prolonged price shock due to oil supply difficulties

Inflation in the eurozone unexpectedly accelerated. How does the conflict in the Middle East threaten the EU?

Shell plc

BP p.l.c.

TUI AG

The Stoxx Europe 600 lost more than 2% at the opening of trading

Iran war pushes EU stocks to biggest two-day drop since April

Walmart Inc.

Alibaba Group Holding Limited

Airbus SE

Whether the turbulence in the markets caused by the development of artificial intelligence-based tools will continue will be the main question for Wall Street this week, Yahoo Finance <a href="https://finance.yahoo.com/news/walmart-earnings-spending-data-and-more-ai-disruptions-what-to-watch-this-week-125712762.html#:~:text=Whether%20these%20disruptions%20continue%20will%20be%20the%20theme%20most%20closely%20tracked%20by%20investors%20in%20the%20week%20ahead.">writes</a>. In the previous two weeks, investors sold off shares of companies from the software, real estate, financial services and logistics sectors amid concerns that the traditional business models of these players will be threatened.

US inflation, Alibaba and Walmart earnings: what investors need to know this week

The Coca-Cola Company

McDonald's Corporation

Ferrari N.V.

This week, two crucial sets of economic data will be released in the United States - a rare coincidence caused by the recent government shutdown. First, the Bureau of Labor Statistics (BLS) will release its January employment report, followed by the Consumer Price Index. Thus, attention will be paid to both parts of the Federal Reserve's dual mandate: maximizing employment on the one hand and price stability on the other, Barron's <a href="https://www.barrons.com/articles/jobs-report-consumer-prices-coca-cola-cvs-ford-mcdonalds-earnings-7c16ca85?mod=RTA#:~:text=This%20week%20brings,will%20be%20covered.">notes</a>.

US inflation, Ferrari and Coca-Cola earnings: what investors need to know this week

Core inflation excluding food and energy prices was the lowest since October 2021

Eurozone inflation slowed to its lowest in more than a year. What to expect from the ECB?

Intel Corporation

Netflix, Inc.

Johnson & Johnson

The shortened trading week - on January 19, stock exchanges in the U.S. will not open due to Martin Luther King Day - begins with the World Economic Forum (WEF) in Davos, Switzerland, where <a href="https://www.barrons.com/articles/netflix-united-airlines-ge-aerospace-intel-cpe-cf2b31d3?mod=hp_latestnews#:~:text=where%20at%20least%2060%20heads%20of%20state%20are%20expected">dozens of</a> heads of state will gather. President Trump is expected to speak at the WEF on Wednesday, January 21, Yahoo Finance <a href="https://finance.yahoo.com/news/trump-in-davos-netflix-and-intel-results-on-deck-as-earnings-season-ramps-what-to-watch-this-week-123046447.html#:~:text=The%20first%20is%20President%20Trump%27s%20speech%20at%20the%20World%20Economic%20Forum%20in%20Davos%2C%20Switzerland%2C%20which%20is%20expected%20to%20take%20place%20on%20Wednesday%20morning%20ET.">reported</a>.

Davos, inflation, Netflix and Intel: what investors need to know this week

At the same time, strong price pressures in the services sector are offset by falling energy prices

Eurozone inflation unexpectedly accelerated in November

The increase in the forecast is attributed to Trump's duties and the weak dollar, but the effect will not last long