The ECB may cut interest rates twice this summer depending on wage growth

Meanwhile, global oil benchmark Brent drifted lower on Monday but remained above $90 a barrel after Israel withdrew more soldiers from Gaza and committed to fresh talks on a potential ceasefire in the six-month conflict in the Middle East

Wages are a key variable for policymakers as they decide how soon to lower interest rates. Picture: Arne Dedert/dpa via AP

European Central Bank (ECB) interest-rate setters are starting to position themselves for the next debate as a first cut in June becomes increasingly certain as inflation continues to slow.

The question the members of the Governing Council eventually need to settle is whether to follow their initial foray into monetary easing with another move at their July policy meeting, or wait at least until September.