Zloty seen in EUR/PLN 4.16-4.19 range, T-bonds slightly stronger ahead of MPC decision
Poland's zloty is expected to move in EUR/PLN 4.16-4.19 range ahead of the MPC decision and comments on rates, while T-bonds are opening with minimal gains with no strong moves expected to take place ahead of the MPC sitting, local players told PAP.
"The zloty continues its downward move from yesterday afternoon and will be moving in EUR 4.16-4.19 range by the MPC's comments on rates," BZ WBK FX dealer Robert Kesicki told PAP. "Only after the comments it will be possible to say what the zloty's further direction will be."
The Polish debt market is opening just a bit stronger and broader, ING bond trader Marcin Zarzycki told PAP.
"Nothing much was happening yesterday, today we are opening minimally stronger," the trader said pointing to the stronger Bunds.
"On Wednesday, we have the MPC's decision, so I would not expect any aggressive moves today," Zarzycki said.
Poland's Monetary Policy Council is scheduled to announce its decision on rates on February 6. Market consensus is for 25 bps cut.