European stock markets were retreating ahead of French elections, but today they’re looking bullish, with Dax 30 and Euro opening higher. It seems like the advance of the right spectrum parties has calmed some fears, instead of fueling concerns, while the ECB remains on the dovish course, suggesting 2 more rate cuts until the end of 2024.

The European traders have wrapped up for the day, but it’s still worth reflecting on the market’s performance. As we start a new week, month, quarter, and second half of the year, the major European indexes closed on a positive note, signaling a strong beginning for the latter part of the year. Below is a quick look at the closing levels.

DAX 30 Chart Daily – The 200 SMA Held the Uptrend

European stock market gains/losses at the close:

Earlier on we had ECBs Sinkus making some dovish remarks, which suggest that the European Central Bank is looking for 2 more interest rate cuts until the end of the year.

ECB’s Sinkus Remarks:

• There is a possibility of two more rate cuts in 2024, provided the data meets expectations.
• He emphasizes that the ECB should not confine rate adjustments to projection meetings.
• Additionally, he notes that the case for a rate cut in July has weakened.

ECB President Lagarde and other members indicated after the last meeting that a rate cut in July was unlikely, so this development is not entirely unexpected. Following the July 18th meeting, there are still four more meetings scheduled for the year.

German Index DAX 30 Live Chart