European Markets React to ECB's Fourth Rate Cut of the Year

European markets are set to open lower today as investors grapple with the European Central Bank's (ECB) decision to slash interest rates by another 25 basis points. This marks the fourth rate cut this year, reflecting the ECB's ongoing efforts to stimulate the economy.

Market participants will be closely watching key economic data from the United Kingdom and Germany today. The UK's gross domestic product (GDP) data for the last quarter, along with trade balance and industrial output figures, are expected to provide insights into the health of the British economy. Similarly, Germany's trade balance and Eurozone industrial production data will be under scrutiny.

In early trading, the DAX index remained flat, while the FTSE 100 showed a modest gain of 0.25%. Meanwhile, the CAC 40 and Euro Stoxx 50 indices recorded declines of 0.22% and 0.16%, respectively. The euro was steady against the dollar, trading at $1.04638, whereas the pound slipped by 0.22% to $1.26404.