MNI: China CFETS Yuan Index Up 0.01% In Week of Nov 22

MNI: PBOC Net Injects CNY76.7 Bln via OMO Monday

MNI: PBOC Sets Yuan Parity Lower At 7.1918 Mon; -1.35% Y/Y

CHINA PRESS: Yuan To Reach 17% Of Global Payments By 2035

MNI China Daily Summary: Friday, November 22

MNI: PBOC Net Drains CNY345.9 Bln via OMO Friday

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

EZ/UK Bond Supply Calendar: Gilt Syndi; IT, EU Due Monday

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT FINAL NOV INDEX 71.8

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

FED: Powell's Time Looks Up, Replacement Could Be Less Willing To Cut Rates?

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Commerzbank on CEE Inflation

CEE
  • This week, PPI inflation prints (March) from Poland and the Czech Republic surpassed market expectations; both countries recorded scary prints in the 20%-25% territory.
  • Although key drivers such as the crude oil price have pulled back from their peaks of March, it is too early for this to start helping consumer inflation rates.
  • Rather, CPI inflation is likely to accelerate further in the direction of PPI inflation over the coming quarter, before it reaches a potential peak.
  • Granted, some of this will be like a technical follow-through, and if world prices were to ease off, there could be a case for looking through the impulse.
  • Prior to the war, CEE central banks anyway treated inflation as transitory, and they were tightening monetary policy only to ward off second-round effects (on wages) and keep expectations anchored.
  • And as far as this objective goes, the root cause of inflation matters relatively little. Both NBP and CNB are likely to continue with sizeable rate hikes at their respective 5 May meetings: CNB could settle for 50bp, but NBP is more likely to hike by 75-100bp.
BulletEM BulletEmerging Market NewsHomepage
BulletEM BulletEmerging Market NewsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.