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NBP Likely To Hike By 100bps

POLAND
  • This week, the NBP is meeting and is likely to hike its policy rate by 100bps following the strong uptick in inflation in April.
  • This would levitate the benchmark rate to 5.5% (highest level since November 2008).
  • As a reminder, preliminary April inflation accelerated to 12.3% YoY (vs. 11.4% exp.), up from 11% the previous month.
  • The EU is proposing a gradual ban on Russian oil by the end of the year -- which Hungary has suggested it will veto if it moves too quickly -- but several ministers made clear that they expect quick action (BBG).
  • Yesterday, Climate Minister Moskwa appealed to countries not to pay in rubles and called for immediate sanctions on Russian oil and gas.

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