Inflation in the euro area reached a three-year high of 3.8% in September, as reported by official data released on Friday. This increase is largely due to rising energy prices, which have been affected by the ongoing conflict in the Middle East. According to Eurostat, the preliminary estimate shows that inflation in the 21 countries that use the euro has accelerated from 3.2% in August. Energy prices, in particular, have surged to 18.8%, up from 14.3% in the previous month, making them the main driver of inflation. Other sectors such as services have also seen an increase of 3.2%, while food and industrial goods have risen slightly to 1.4% and 1.1%, respectively. For now, the inflationary pressure is mainly attributed to the energy shock. Core inflation, which excludes volatile items such as energy and food, has also increased slightly to 2.5%, up by 0.1 percentage point. This measure is considered a better indicator of underlying inflation trends. However, the overall inflation rate remains above the European Central Bank's (ECB) target of 2%, which it aims to maintain over the medium term. Inflation levels vary across the euro area. Countries such as Lithuania, Bulgaria, Greece, and Spain are experiencing significantly higher inflation, with rates reaching 6.1%, 5.6%, 5.1%, and 5%, respectively. In contrast, the Netherlands, France, and Germany have more moderate inflation, at 3%, 3.4%, and 3.3%, respectively. Despite these differences, all countries are facing inflation rates above the ECB's target. To address the rising inflation, the ECB has begun a new cycle of monetary tightening. This involves raising key interest rates, which influence the rates set by commercial banks, in an effort to slow down economic activity and reduce inflationary pressures. The ECB has already increased its key interest rate twice this year, bringing it to 2.5%. While this move could help bring inflation under control, it also raises concerns about its potential impact on economic growth, especially in countries with high levels of debt. The ECB has not ruled out the possibility of further rate increases in the coming months, depending on how price pressures evolve.