After inflation tends to decline, the European Central Bank (ECB) and the Bank of Canada (BoC) are expected to lower key interest rates at this week's policy meeting.

ECB will announce interest rate policy on June 6. The monetary market estimates that the bank's ability to cut interest rates is 93%. The ECB will likely lower its deposit interest rate to 3.75%, from the current record high of 4%.

A poll of 82 economists conducted by British news agency Reuters last week showed that all predicted the ECB would cut interest rates at its meeting on June 6.

Meanwhile, the market predicts an 82% chance that the BoC will cut interest rates at its meeting on June 5, from 5% to 4.75%.

Thus, the ECB and BoC may be among the first major central banks to loosen monetary policy in the current cycle, after the Swiss National Bank cut interest rates last March.