Finance Minister Thierry Breton said euro zone inflation is under control despite a surge in energy costs, which have not yet led to a broad increase in prices. Asked at a press conference this morning about the interest rate hikes implemented by the European Central Bank since December, Breton said: "We do not see any return of inflation. Inflation is well under control." "Despite the significant increase of energy prices, we have not seen any second-round effects," he added. The ECB is widely expected to continue raising its key interest rate over the coming months, with most economists anticipating a rate of 3.0-3.25 pct by the end of this year compared with the current 2.50 pct rate. With regards to the French economy, Breton said that the strikes and demonstrations that have been held across the country in protest of the government's proposed job reforms have not yet had any impact on economic growth. "From an economic point of view, we don't see any impact at this time," Breton said. "But nobody can be happy with the current situation." Major strikes were held in France on Tuesday against the new First Employment Contract (CPE), a measure aimed at encouraging hiring of young people by allowing employers to fire them without cause for the first two years of their contract.