Zloty Rise as Policy Makers Signal About Higher Interest Rates
The Polish zloty rose today after four days of declines after the policy makers signaled about the possible increases of the interest rates and as Japan’s announcement of buying of the European bonds improved the market sentiment.
The comments of the central bank Governor Marek Belka and other monetary policy makers caused the speculation that the main interest rate may be raised this month. Andrzej Rzonca of the Monetary Policy Council said stated that the zloty is “undervalued”. He also expressed his view that the central bank need to increase the interest rates early and high enough to help the currency appreciate and to decrease the credit growth.
USD/PLN dropped today from 3.0135 to the intraday low of 2.9915 and traded at 2.9982 as of 13:34 GMT.
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Earlier News About the Polish Zloty:
- Zloty Drops After Rally on Anticipation of Interest Rates Hike (2011-01-07)
- Polish Zloty Rebounds as Inflation Reaches 11-Month Record (2011-01-03)
- Zloty Appreciates as BGK Sells Euros (2010-12-30)
- Polish Zloty Falls on European Debt & Fitch Statement (2010-11-26)
- Concerns for Europe's Economy Make Zloty Weaker (2010-09-28)