The Polish zloty ended the session
basically unchanged against the euro and
slightly down versus the broadly stronger
dollar on Friday. Trading was cautious all
day long though ahead of the news on Zyta
Gilowska’s final decision on whether to
return to the government and the first batch
of eco data, including the all-important CPI
report later this week.
There are still no fundamental factors which
would change our long term bullish zloty
view, but as we have seen recently politics
or, more precisely, the sustained uncertainty
concerning next years budget, continues to
offset the potential gains. This should remain
the case in the days to come as the markets
focus on fresh eco data, while keeping an
eye on what’s going on within the governing
coalition.
(CSOB - Investment research)