Reuters reports that the European Central Bank's Survey of Professional Forecasters showed that euro zone growth and inflation could be higher this year and next than earlier predicted.

Inflation, targeted at 2% by the ECB, could hit 1.9% this year, above the 1.6% predicted three months ago while 2022 inflation is now seen at 1.5% as against 1.3%.

The longer term of 2026 inflation projection was raised to 1.8% from 1.7%.

In terms of growth, the survey now sees GDP expanding by 4.7% this year and 4.6% next year, upgrades compared to previous projections but broadly in line with estimates from the ECB's own staff.