The DAX index on the Frankfurt Stock Exchange hit a historic high over 18,000 points, fueled by expectations of European Central Bank interest rate cuts.

Eurozone inflation decline prompts anticipation of ECB rate cut in June, contributing to market optimism.

Other European markets rise following the UK's GDP growth, signaling a rebound after entering a recession in 2023.

German blue-chip companies on the DAX, including Mercedes, BMW, and Siemens, drive the index's success with strong profits and significant shareholder dividends.

Positive earnings reports from companies such as Zalando and Eon also boost market confidence.

Despite the DAX's surge, experts warn of a potential 'overbought' condition and the possibility of a market correction.

Investors remain watchful as the DAX approaches the 18,000-point mark, amidst a general market optimism.