Key Court Bill Clears First Hurdle, December Inflation Slowdown Confirmed

EUR/PLN has traded with a light bearish bias and last can be seen at PLN4.6904, down 42 pips on the session. A dip through Jan 4 low of PLN4.6573 would bring Dec 26/Jun 21 lows of PLN4.6270/62 into play. Initial bullish focus falls on Dec 6 high of PLN4.7220.

• POLGB yield curve runs slightly flatter, with yields last seen +3.1bp to -0.6bp as we type. Benchmark 10-year yield continues to consolidate under the psychological 6% figure.
• The Polish Sejm greenlighted court reforms needed to address the European Commission's rule-of-law concerns and unlock access to more than EUR35bn in EU recovery funds. The legislative process continues, with the bill now sent to the Senate for further review.
• Poland's consumer inflation slowed to +16.6% Y/Y last month, according to final data from the statistics office. However, prices are expected to get hotter in the coming months as most analysts believe we are nearing the inflation peak.
• Current account balance data and a review of Poland's A- sovereign credit rating by Fitch will take focus later in the day.