The rebound on the zloty did not last long - the EUR/USD pair fell below 1.18, which puts pressure on the Polish currency. Tomorrow's PMI data for the eurozone may slightly widen the fluctuations' range.
The zloty will not be more expensive? Positive factors from the country have a limited impact, while external factors are likely to create supply pressures. The dollar reached new six-monthly highs against the euro. The US is stopping a customs war with China.
Pressure on emerging markets is still visible. The EUR/USD pair reaches this year's new lows in the morning. Data from the Polish economy seems to be positive but has a limited impact on the zloty due to strong negative external signals. The EUR/PLN pair close to the 4.30 boundary.
After the increased variability in the first days of the week, Friday's session can be relatively calm. The market continues to ignore reports from Italy. The zloty becomes stable and the euro costs around 4.25-4.26 PLN. Risks to the national currency persist.
Lower than expected core inflation in the US weakens the dollar clearly. The zloty benefits from a better global sentiment and from the worse condition of the US and British currencies.
A surprising improvement in sentiment despite the increasing risks. The Bank of England meeting and US inflation data important for the pound and the dollar. The zloty has quickly pared recent losses, but the situation in emerging market currencies may remain tense.