__cfduid
Valid: 29 days
It helps us protect the website from threats such as hacker attacks. Used by Cloudflare to recognise trusted network traffic.
__lc_cid
Valid: 3 years
Necessary for proper functioning of the chat available on the website.
__lc_cst
Valid: 3 years
Necessary for proper functioning of the chat available on the website.
rc::a
Valid: It does not expire
Cookies to correctly distinguish between human and bot-generated traffic.
rc::b
Valid: 1 session
Cookies to correctly distinguish between human and bot-generated traffic.
rc::c
Valid: 1 session
Cookies to correctly distinguish between human and bot-generated traffic.
NID
Valid: 6 months
Records a unique number to recognise the device you are using. It is used for advertising.
_ga
Valid: 2 years
Registers a unique user number to collect statistical data about how you use our website.
_gat
Valid: 1 day
Used by Google Analytics to reduce queries. Reduces the amount of statistical data collected.
_gid
Valid: 1 day
Registers a unique user number to collect statistical data about how you use our website.
yt-player-bandwidth
Valid: It does not expire
Determines the best video quality based on your device and the Internet connection used.
yt-player-headers-readable
Valid: It does not expire
Determines the best video quality based on your device and the Internet connection used.
The empty macroeconomic calendar and sentiment from Friday that continues on the market support the stabilisation of the foreign exchange market. The EUR/USD is still below 1.1000. The zloty is in a limited volatility range: the EUR/PLN pair is slightly above 4.26. Low volatility on the broader market should support the stabilisation of the zloty basket until the end of the day.
Dollar without appreciation but it still remains strong
This week began relatively quietly on the foreign exchange market. Until midday, the changes were limited, which was supported by both an empty calendar of macroeconomic events and the continued positive sentiment. Therefore, the dollar is still globally stronger. The dollar's appreciation is supported by macroeconomic data, which were received last week, among others.
The data illustrate the growing disproportion between the USA and eurozone economies, in favour of the former. The existing uncertainty in the broader market about the virus is also an argument for maintaining the condition of the US currency. The stronger dollar also has a disinflationary effect on the global economy, which negatively affects the valuation of emerging country currencies (EM).
Bloomberg's index of the dollar, which also includes EM currencies, has remained at the upper quotation limit since early December: just above 1206 points around midday. The main currency pair, i.e. the euro/dollar, did not fluctuate significantly either, and it is still below 1.000, around 1.0950, just at its lowest level since October.
Current conditions do not support zloty's appreciation
No further appreciation of the dollar does not exert additional pressure on the zloty, but its relatively good condition will prevent the zloty from increasing strongly. In the afternoon, the EUR/PLN exchange rate was close to 4.26, slightly (around 0.2%) below Friday's closing. The fluctuation range of approx. 4.2620-4.2750 did not differ from that of Friday. The situation was similar in the case of the zloty's relation to other main currencies.
Empty calendar of macroeconomic events later in the day should support the zloty's stabilisation around current levels. A little more fluctuations in the main currencies, as well as the zloty, may be introduced tomorrow by Jerome Powell, head of the Federal Reserve. Powell will give the US Congress a mid-year monetary policy report. We can expect questions about the impact of the virus on the US (and global) economy. It is unlikely to be expected that Powell will make a clear statement about the level of interest rates later in the year, but the volatility may increase significantly during his speech and Q&A.
Subscribe to our currency newsletter
See also:
Again positive surprise from the USA (Afternoon analysis 7.02.2020)
Weak overview of industry in Germany and France (Daily analysis 7.02.2020)
Dollar continues its strong appreciation (Afternoon analysis 6.02.2020)
Markets break records, powers reduce duties, currencies are stable (Daily analysis 6.02.2020)
Attractive exchange rates of 28 currencies
Live rates.
Update: 30s
Open your free account today
Save your time and money. Create an account for free and discover how much you can gain. Join us today, and start using attractive currency services.
Create free account