Surprising Rebound, Inflation Risk Muddy ECB’s Path

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union. Next week’s cut to interest rates by the European Central Bank is all but certain. What’s less clear is where the path leads from there. Economists are dialing back their expectations for how far the ECB will ease monetary policy, with one fewer cut predicted now than ahead of April’s decision. A surprisingly robust rebound in Europe’s economy, sticky wage pressures and upside risks to an already uncertain inflation outlook are...