European stocks edge higher ahead of ECB rate decision

On Thursday, the DAX index jumped 0.2% as market participants were anticipating monetary policy easing by the European Central Bank (ECB) during its meeting, Investing.com notes.

The ECB is finishing its policy meeting and is almost certain to cut interest rates again in a bid to support the regional economy, according to analysts from the web resource.

Data released earlier this week showed inflation across the 20 EU member states slowed from 2.2% in April to 1.9% in May, falling below the European regulator's 2% target.

Nevertheless, market participants await ECB President Christine Lagarde's comments regarding the central bank's next moves. Analysts surveyed by Investing.com suggest a pause in the rate-cutting cycle will be announced in July, allowing policymakers to assess the impact of US administration trade policies on the EU economy.

Meanwhile, trade negotiations between Germany and the United States continue. Germany's new Chancellor Friedrich Merz is scheduled to meet with US President Donald Trump on Thursday.