ECB official warns energy crisis risks financial stability

European Central Bank Governing Council member Fabio Panetta has issued a warning regarding the potential for energy market tensions to undermine global financial stability. During a speech in Rome, Panetta highlighted that the conflict involving the United States, Israel, and Iran is a primary source of concern for policymakers. He cautioned that a sudden shift in investor risk appetite could exert significant pressure on government bonds, particularly in countries managing high levels of public debt, such as Italy.