Zloty Gains as Cyprus Reopens Banks
The Polish zloty rose today as fears of the financial crisis in Cyprus abated after country’s banks reopened today. The currency may yet be damaged by the unfavorable domestic fundamentals.
Cyprus’s banks were reopened today, but lawmakers limited the amount of money that can be withdrawn. Such measure prevented a massive flight of capital from the country’s banking system, alleviating tension among investors to some degree. The zloty gained on the news, but remained under pressure as Polish policy makers indicated that they will likely continue to cut interest rates.
USD/PLN rose from 3.2732 to 3.2585 as of 18:00 GMT today and touched the high of 3.2829 intraday.
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Earlier News About the Polish Zloty:
- Aid for Cyprus Leads to Stronger Polish Zloty (2013-03-25)
- Zloty Erases Losses, Under Pressure from Fundamentals (2013-03-15)
- 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)