21:40 5 July 2022
Dollar most expensive in more than 20 years
On the wave of the intense dollar strengthening, the zloty is weakening against major global currencies. At midday on Tuesday, the euro rose by almost 4 cents, exceeding PLN 4.74, but then went down to PLN 4.73, reaching PLN 4.75 at 4 pm. At the same time, the Community currency weakened markedly against the dollar, slipping below 1.03 – its lowest level since 2003 – and the franc, falling to nearly 0.992 – its lowest level ever outside of the memorable January 2015, when the Swiss unexpectedly broke the peg to the euro.
The euro is dragging the zloty with it, and as a result, USD has already cost more than PLN 4.63 at 4:00 pm, the franc: nearly PLN 4.79, and the pound close to PLN 5.54 – in the morning, they were paid 12, 10 and 8 cents less on the forex market, respectively. The USD/PLN exchange rate hit its highest level of the 2000s, slightly above the March 7 peak this year, and the CHF/PLN exchange rate was pushed to its highest level since March.
"We are on a wave of global risk aversion. In the background, there are grave concerns about a global recession. This calls for great caution and prudence in fine-tuning monetary policy," Piotr Bujak of PKO BP twitted.
