__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.
Improved sentiment in the market pulls the supply pressure from the zloty. However, the dollar continues to appreciate, with the EUR/USD exchange rate at its lowest level in a month. For another day in a row, the pound loses value, and the GBP/PLN exchange rate drops below 4.90 PLN.
Wednesday started in slightly better sentiment. There was no longer a widespread aversion to risk observed on Tuesday. The main market indexes in Europe gained about 1% at midday. Oil prices were also rising, which yesterday fell by 9%.
More and more factors support the dollar
With such peace on the broader market, a little greater calm surrounded most of the currencies of emerging countries, which in recent days were under supply pressure. Today, the zloty recorded slight changes in relation to the euro (4.45), the dollar (3.79) and the franc (4.12).
However, these levels are still very close to the upper limit of quotations from the end of July. The Polish currency is kept in a weakened state by the dollar in the global market. Yesterday, the EUR/USD exchange rate tested around 1.1760, which is the lower limit since last month. And today, after a small increase to nearly 1.18, the main currency pair is again rated at 1.1760.
A fall below this level may, in turn, open the way for further increases in the dollar, also weakening the zloty basket. Factors that can strengthen the dollar are accumulating more and more. These include improving macroeconomic data from the US while statistics from the eurozone weaken, as well as the falling number of coronavirus cases in the US with an increase in the number of daily illnesses in Europe, the upcoming US presidential election, increased geopolitical tension between the US and China, and tightening rhetoric surrounding the UK trade agreement with the European Union.
The pound's quotations are going down in red
Although the market did not respond to all of the aforementioned factors during the holiday period, their aggravation and accumulation may ultimately support the dollar. The pound, in turn, is being increasingly affected by the already mentioned difficulties in negotiating a trade agreement.
Today, the GBP/USD quotations fell below 1.30, which is the first time in more than a month, due to the coincidence of dollar increases and pound losses. However, if we look at the relationship between the euro and the pound, we also see strong increases here. The EUR/GBP exchange rate, exceeding 0.91, has now risen to its highest level in over a month. This also translated into the GBP/PLN exchange rate, which fell below 4.90 PLN the first in two weeks. Given the proximity of the deadline (October 15th) for agreement between the United Kingdom and the European Union, we can expect the volatility of the pound to increase, with supply pressures prevailing.
Subscribe to our currency newsletter
See also:
Oil depreciates, the zloty incurs losses, and the sentiment is worse than yesterday (Afternoon analysis 8.09.2020)
The pound is under pressure (daily analysis 8.09.2020)
The zloty pared some losses (Afternoon analysis 7.09.2020)
Strong drops in the pound's valuation (Daily analysis 7.09.2020)
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