The European Central Bank is expected to reduce its deposit rate from 3% to 2.75%, marking the lowest level in nearly two years, as inflation continues to moderate and economic growth remains sluggish. While inflation stands at 2.4%, above the ECB’s target, it’s projected to decrease to 2.1% this year. The eurozone faces mixed economic signals, with core economies like Germany and France struggling while peripheral nations benefit from tourism, leading to a modest growth forecast of 1.1% for 2024.