The Polish zloty steadied in the 3.92-3.94 range amid extremely tight liquidity conditions on Friday. The unit followed the forint up against the common currency early in the session but gains were capped throughout the region before the morning was over and the EUR/PLN eventually retreated into pre-opening territory later in the session due to pre-weekend profit taking. Data-wise the domestic calendar is empty till Wednesday, so all eyes should remain fixed on the forint and the NBH decision on rates. All-in-all however, with traders off on holiday in London we would expect a calm, range bound session today.
(CSOB - Investment research)