The European Central Bank (ECB) maintained its key interest rate at 4.5% for the sixth consecutive meeting, signaling policy continuity despite escalating geopolitical tensions. Officials explicitly warned that the ongoing conflict in Iran could significantly alter their inflation and economic outlook, potentially leading to future adjustments. This decision underscores the central bank's cautious approach, balancing current economic stability against potential disruptions from global instability.

Market reactions were muted, with investors focusing on the ECB's forward guidance and the broader implications of the war for energy prices and supply chains.