European stock markets closed lower across the board on thursday: The pan-European STOXX 600 index fell 0.61% at the close, while Germany's DAX index declined 0.69%, the UK's FTSE 100 dropped 0.57%, and France's CAC 40 slipped 0.49%.

According to Emirates News Agency, the European Central Bank's recent decision to hike interest rates has led to a downturn in major stock indices. The rate increase, aimed at tackling inflation and stabilizing the eurozone economy, has had an immediate impact on investor sentiment.

Market analysts suggest that the rate hike may lead to tighter financial conditions, which could affect borrowing costs and economic growth in the region. Investors are closely monitoring the situation to assess the long-term implications of the ECB's policy shift.

The decline in European stocks reflects broader concerns about the potential for slower economic growth and increased market volatility. As the ECB continues to navigate the complex economic landscape, stakeholders are eager to understand the future trajectory of monetary policy in the eurozone.