European markets are set to open higher on Thursday as investors await the European Central Bank’s (ECB) latest monetary policy decision. Economists are predicting the central bank will lower its key interest rate by 25 basis points to 2.

A 25 basis point cut to the ECB deposit facility rate is widely anticipated, marking the seventh cut in the current cycle. Click to read.

Chances of European stocks outperforming their US counterparts in the near to medium term are “probably the highest they’ve been in quite some time,” according to Andrew Rymer of Schroders. EU already did better than US equities last month that were mired in concerns of fly-high valuation and political risks.