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Sell Side Cautious on EUR/PLN Shorts; HUF Focused on NBH Funding Plan

CEE FX
  • EUR/PLN continues to trade choppily within the 4.53-4.5688 zone as traders weigh NBP intervention.
  • Sell side urging caution regarding more NBP intervention on a push lower towards 4.50
  • note that favourable risk sentiment pushing the cross lower may run into problems with the NBP's goals for a weak PLN.
  • Sup1: 4.5435, Sup 2: 4.5299, Res1: 4.5688, Res 2: 4.5834.
  • EUR/HUF trading mostly flat after opening lower this morning after unemployment came in below expectations at 4.4% vs 4.5% exp.
  • Focus on the funding for growth plan this afternoon (1500GMT).
  • Local rates saw strong bull flattening in yesterday's session.
  • 10Y holding above 2.00, 20Y at 2.44 supporting HUF inflows.
  • Bear Trigger at 360.71 opens up a more comprehensive move towards 358.14 support.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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