The European Central Bank is expected to cut interest rates at its June 6 meeting, as widely signalled in recent weeks by its policymakers. The interest rate on the main refinancing operations, the marginal lending facility, and the deposit facility are anticipated to drop by 25 basis points to 4.25%, 4.50%, and 3.75%, respectively. This will mark the first cut since March 2016 for both the main refinancing operations rate and the marginal lending rate while, for the deposit rate, it will be the first reduction since September 2019. Why is the ECB cutting interest rates?The overall increase of…