NBP Member Says Additional Zloty Weakening Not Desirable

Comments crossing wires from central bank member Wnorowski, who says that rate moves should be gradual following the drop in the zloty, and that further zloty weakening is not desirable.

• EURPLN moderately dipping further on the back of those comments, extending the bias following the Glapinski rhetoric earlier today. Initial firm support is at 4.5951, the Sep 8 low.
• Recall earlier, NBP Governor Glapinski said that the room for more interest-rate cuts has significantly narrowed after the 75bp rate cut earlier this month. “After this adjustment, the room for further interest rate cuts has narrowed considerably, although it will continue to be there with incoming data,” he said.