17:13 19 May 2025
Economists: there is no room for further weakening of the zloty
According to Bank Millennium economists, there is limited room for further weakening of the Polish złoty despite increased volatility following the first round of presidential elections. Political uncertainty ahead of the runoff may cause short-term fluctuations, but macroeconomic fundamentals and upcoming domestic data are expected to support a decline in government bond yields.
While EUR/PLN may trend toward 4.3050, USD/PLN could dip slightly below 3.80 due to a weaker euro and stable złoty. Recently, market interest rates and bond yields rose slightly, driven by hawkish comments from NBP officials and global factors like rising oil prices. Still, yields may soon decline, though uncertainty around election outcomes could temporarily pressure Polish debt valuations.
(pb.pl)
