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2Y Yield Consolidates Towards 3.50% Support

POLAND
  • Poland 2Y yield has been retracing lower in the past two days after hitting a local high at 3.74% yesterday.
  • ST support to watch on the downside stands at 3.50%, which corresponds to the LT upward trending support line, followed by 3.26% (50DMA).
  • On the topside, next resistance to watch above 3.74% stands at 4%.
  • Forward rates are barely unchanged since CPI inflation number yesterday; with the FRA 3Mx6M currently trading at 120bps above the Wibor 3M, market is currently pricing in a ‘terminal’ rate at 4%.

Source: Bloomberg

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