* Key ECB and OPEC meetings due later in the day
* Global stock markets make little headway
* Rise in yen causes sharp fall on Nikkei stock market
By Sudip Kar-Gupta
LONDON, June 2 (Reuters) - Global stock markets made little
headway on Thursday as Japan's Nikkei .N225 fell sharply
following a jump in the yen while European markets were flat in
the run-up to a key European Central Bank (ECB) meeting.
Along with the ECB, an OPEC meeting in Vienna was also at
the forefront of investors' minds, with oil prices holding
steady as analysts said they did not expect the meeting to
result in restrictions on crude oil output. O/R
The MSCI All-Country World index .MIWD00000PUS slipped 0.1
percent while the pan-European STOXX 600 .STOXX and
FTSEurofirst 300 indexes .FTEU3 were flat.
Japanese stocks had earlier suffered their biggest daily
percentage drop in a month on Thursday, hit by a move higher for
the yen JPY= on currency markets. .T
Keeping interest rates firmly on hold, the ECB will probably
raise growth and inflation forecasts on Thursday, a rare
positive step even as it emphasises persistent negative risks
and a readiness to provide more stimulus.
Although the ECB will maintain its guidance that rates will
stay at their current or lower levels for an extended period,
Draghi may repeat his view that he does not foresee another rate
cut.
Speculation that the ECB could raise its growth and
inflation forecasts supported the euro currency EUR= on
foreign exchange markets. FRX/
Nevertheless, some traders said a lack of new, concrete
measures from the ECB and OPEC meetings could disappoint some
investors.
"The ECB and OPEC meetings could prove to be a damp squib,
which may result in markets drifting a bit lower," said Terry
Torrison, managing director at Monaco-based McLaren Securities.
On the bond markets, Greek government borrowing costs
hovered near six-month lows on speculation that the ECB meeting
could signal the return of a funding lifeline to Greece's banks,
the first step in its plans to return to bond markets next year.
GVD/EUR
However, sterling GBP= remained under pressure due to
lingering uncertainty over the result of this month's 'Brexit'
vote on whether or not Britain will choose to remain a member of
the European Union.
"We are monitoring risk due to things like Brexit, but from
a valuation point of view we like Europe," said Bill Street,
EMEA head of investments at State Street Global Advisors.