European Markets Respond to ECB's Bold Move

Following the European Central Bank's decision to slash interest rates by 25 basis points, major European stock markets experienced an uplift. Investors are closely monitoring the economic landscape, as the ECB also provided a cautious outlook on the economy's near-term prospects.

Economic Indicators in Focus

Key economic data releases have captured the market's attention, including a slowdown in UK annual house price growth to 4.1% in January, a 1.8% rise in German retail sales for December, and a 2.6% increase in Swiss retail sales. France reported a minor inflation uptick, while anticipation builds for Germany's unemployment rate and consumer price report.

Market Movements

At 9:00 am CET, the French CAC 40 edged up by 0.12%, with STMicroelectronics leading gains. The Euro Stoxx 50 and British FTSE 100 also saw increases, with notable performances from Prosus NV and Next PLC, respectively. The German DAX advanced, buoyed by a significant jump in Deutsche Bank shares.

Currency Watch

Currency markets remained steady, with the euro and the pound sterling trading flat against the dollar at 8:58 am CET, signaling a cautious stance among investors as they digest the latest economic developments.