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NBP Eases Tightening Stance As Growth Outlook Worsens

POLAND
  • Surprising announcement from NBP considering that CEE peers have kept 'very hawkish' stance to protect the currency in the current risk off environment.
  • It seems that policymakers have been considering the growth side of the equation; we saw that manufacturing PMI fell sharply to 44.4 in June (vs. 47.5 exp.).
  • EURPLN has been trending higher following the announcement, breaking above the 4.8030 resistance following the announcement before edging lower, 38.2% Fibo retracement of the 4.4830 - 5.0020 range.
  • Statement will be published at 4pm CET.

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