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EUR/PLN Rejects 4.60 Ahead of Big Data Week, Core CPI, PPI Set to Rise

POLAND
  • EUR/PLN trades mostly flat around the open, broadly ignoring early EUR weakness.
  • Last week's price action saw the cross faded towards the 4.60 handle with long topside wicks appearing on daily candles as PLN bears failed to establish dominance.
  • Focus this week will undoubtedly be on domestic data as Poland produces a raft of economic metrics including core CPI, PPI, industrial production, retail sales and employment data.
  • Most notably, however, core CPI & PPI are expected to tick higher – exacerbating concerns of the NBP's overly-dovish policy stance vs the CEE region.
  • Additionally, with today being the deadline for Poland to respond to the EU commission on compliance with ECJ rulings PLN sentiment may remain under pressure on a number of fronts.
  • Intraday Sup1: 4.5594, Sup2: 4.5511, Res1: 4.5738, Res2: 4.5792
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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