European Stocks Waver as Traders Assess Rate Path – Europe Market Wrap

European equities failed to get traction in thin trade as a European Central Bank official cautioned that policy would have to remain tight throughout the year.

The Stoxx Europe 600 index showed minimal movement. Turnover was less than half the 20-day average for the time of day, since the UK and US markets were closed for holidays. American equities futures and the currency remained stable.

The European Central Bank is on pace to begin decreasing interest rates next month, but will have to maintain tight policy until 2024, Chief Economist Philip Lane told the Financial Times in an interview published Monday. A rate decrease in June has been widely anticipated, but future measures are less certain. Data this week may reveal that headline inflation in the eurozone increased in May.