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PLN Moves Lower Following The Decision

POLAND
  • EURPLN moves higher following the announcement, currently testing today's high at 4.5420.
  • Next resistance to watch on the topside stands at 4.56.
  • A few economists were expecting a 75bps hike today, which could explain some of the PLN weakness.
  • As we mentioned in the preview, with political risk premium being now trimmed, a strengthening currency reduces the pressure on NBP policymakers to surprise the market with more aggressive hikes.
  • Statement to follow at 3pm (London time).

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