BOC SAYS DOESN'T NEED TO ALTER PATH OF QT RIGHT NOW

this is a test, please ignore

MNI BRIEF: Text of Bank Of Canada Interest-Rate Decision

MNI China Daily Summary: Wednesday, July 24

MNI: PBOC Net Drains CNY203.9 Bln Via OMO Wednesday

MNI: PBOC Sets Yuan Parity Higher At 7.1358 Weds; -0.98% Y/Y

US Treasury Auction Calendar

EZ/UK Bond Supply Calendar: BTP Short Term and BTPeis on Thursday

EZ/UK T-Bill Calendar: Italy, UK Auction on Friday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Zloty Little Changed, Activity Data Due Tomorrow

PLN
BulletEM BulletEmerging Market NewsHomepage

EUR/PLN has weakened past 4.26 yesterday but support from 4.25 remained intact. The rate changes hands at 4.2542, little changed on the day, with bulls looking for recovery past the 50-EMA at 4.3008. Conversely, bears keep an eye on the nearby round figure of 4.2500. A clean break here would open up 4.2131, the 1.00 projection of the Jan 17 - Apr 9 - Apr 16 price swing.

  • Citing official data, Citi Handlowy write that out of the equivalent of EUR20bn in foreign currencies, the Finance Ministry last year exchanged EUR15.5bn via the NBP and EUR4.5bn in the market. This means that the rate of conversion through the NBP rose to 78% from 58% in 2022. Based on partial data for this year, Citi estimate that the total volume of conversions has notably declined, while the Finance Ministry's FX holdings rose to EUR22.4bn now from EUR9.9bn at the end of 2023.
  • NBP's Ludwik Kotecki said that a stabilisation of interest rates through the end of the year is an "optimistic" but "perhaps "perhaps also most likely" scenario, although a small rate cut cannot be ruled out if wage pressures subside. For now, according to Kotecki, the current pace of wage growth is inconsistent with the NBP's inflation target.
  • POLGB yields sit slightly lower across the curve. Worth adding that PLN 6x9 FRAs have been ticking lower over the past week or so.
  • The WIG20 Index has moved away from fresh cyclical highs printed yesterday around 2,600 but the broader uptrend remains intact.
  • Polish economic activity data for April will start trickling through tomorrow.
258 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

EUR/PLN has weakened past 4.26 yesterday but support from 4.25 remained intact. The rate changes hands at 4.2542, little changed on the day, with bulls looking for recovery past the 50-EMA at 4.3008. Conversely, bears keep an eye on the nearby round figure of 4.2500. A clean break here would open up 4.2131, the 1.00 projection of the Jan 17 - Apr 9 - Apr 16 price swing.

  • Citing official data, Citi Handlowy write that out of the equivalent of EUR20bn in foreign currencies, the Finance Ministry last year exchanged EUR15.5bn via the NBP and EUR4.5bn in the market. This means that the rate of conversion through the NBP rose to 78% from 58% in 2022. Based on partial data for this year, Citi estimate that the total volume of conversions has notably declined, while the Finance Ministry's FX holdings rose to EUR22.4bn now from EUR9.9bn at the end of 2023.
  • NBP's Ludwik Kotecki said that a stabilisation of interest rates through the end of the year is an "optimistic" but "perhaps "perhaps also most likely" scenario, although a small rate cut cannot be ruled out if wage pressures subside. For now, according to Kotecki, the current pace of wage growth is inconsistent with the NBP's inflation target.
  • POLGB yields sit slightly lower across the curve. Worth adding that PLN 6x9 FRAs have been ticking lower over the past week or so.
  • The WIG20 Index has moved away from fresh cyclical highs printed yesterday around 2,600 but the broader uptrend remains intact.
  • Polish economic activity data for April will start trickling through tomorrow.