Zloty Edges Ahead Of EMEA Peers

EUR/PLN trades at PLN4.6903, down 52 pips on the day, struggling to test familiar extremes. USD/PLN sits -108 pips at PLN4.3644 after lodging new two-week lows. The Zloty is the best performer in the EMEA space as we type.

• POLGB yields have stabilised after their initial move higher and last operate 9.8-19.7bp better off across the curve. The broader FI space has come under pressure, but the the sell-off in POLGBs has outpaced that of their regional peers.
• WIG20 trades near unchanged levels after refreshing cyclical highs earlier in the session. The index has gained for the past four sessions on volumes that exceeded their 15-DMA.
• Poland's Deputy Finance Minister Sobon ruled out a recession in 2023 and said that economic growth is unlikely to slow under +1% Y/Y. He told wPolsce.pl that there are no plans to implement new support programmes but the Finance Ministry can react "flexibly" if such legislative proposals are presented.
• The local economic docket is virtually empty until a cluster of data due Friday. On that day, Poland will release the final reading of its December CPI, as well as November current account and trade balance.