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EURPLN Falls to Tuesday’s Lows Following Glapinski Comments

PLN
EURPLN has completely reversed its overnight gains and is trading close to yesterday’s lows at the 4.64 region at typing. The move follows earlier comments from NBP Governor Glapinski who said that there is little room for further rate cuts following the 75bp cut earlier this month.
  • Technically, the pullback in EURPLN from 4.6971, the Sep 12 high, has been considered corrective - for now. Initial firm support is at 4.5951, the Sep 8 low. PLNHUF and PLNCZK have both strengthened 0.40% and 0.30% today, respectively. Nevertheless, both crosses recorded fresh 3-month lows earlier in the session.
  • A suite of local activity indicators and the Fed rate decision further out are the key risk events of the day.

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