Zloty Erases Losses, Under Pressure from Fundamentals
The Polish zloty gained today, erasing previous losses. The earlier drop was caused by worries that unfavorable fundamentals will lead to another interest rate cut.
Poland’s consumer price inflation slowed to 1.3 percent in February from a year ago, the lowest level since October 2006, being below the forecast of 1.5 percent. The current account deficit widened to €1.5 billion in January from €1.2 billion in December. The negative macroeconomic indicators led to speculations that the central bank may cut interest rates, which are already record low.
USD/PLN fell from 3.1960 to 3.1777 as of 12:09 GMT today after rising to 3.2005.
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Earlier News About the Polish Zloty:
- Zloty Drops as Central Bank Cuts Rates More than Expected (2013-03-06)
- Polish Zloty Drops on Concerns About Slowing Inflation (2013-02-12)
- Zloty Remains Strong Even as Poland's Central Bank Cuts Rates (2012-12-05)
- Zloty Gains as Investors Show Interest in Polish Assets (2012-09-11)
- Zloty Drops as Samaras Talks to Merkel (2012-08-24)