PLN: Zloty Stays Near Cyclical Highs

EUR/PLN changes hands at 4.1357, down 30 pips on the day, with the pair sitting close to its recent cyclical lows printed at 4.1312. Bears continue to look for losses towards the 4.10 round figure, while bulls eye resistance from the 50-EMA at 4.2094. Poland's REER hit its best levels since 2008 earlier this week, raising questions about the impact on Polish exporters.

• Geopolitics remain an important background factor, with market participants eager to learn how the ongoing US-Ukraine and US-Russia talks unfold. Ukrainian President Zelensky will visit the US this Friday to seal the minerals deal that may be a stepping stone for further talks.
• The economy expanded by 3.2% Y/Y in 4Q24, according to final data from the statistics bureau. The headline figure and the structure of growth were broadly as expected, with consumption growing by 3.5% Y/Y.
• POLGB yields have ticked higher across the curve, with 5s underperforming at typing.
• The WIG Index has added 0.3%, with the WIG20 Index up by 0.2%.