FX mixed as EU finance ministers' meeting in focus
By Alan Charlish
WARSAW, Dec 6 (Reuters) - Central European currencies traded mixed on Tuesday morning as a meeting of European Union finance ministers which will discuss funding for Hungary was underway, while investors also eyed Poland's rate-setting meet.
The European Commission approved Hungary's post-pandemic recovery plan on Nov. 30, but said Budapest would not receive any payments — worth a total 5.8 billion euros — until it implements reforms to bolster judicial independence and tackle corruption.
"The forint could be affected the most by the meeting of the EU finance ministers where questions about EU funds will be discussed ... Any leaked information could have a significant effect," Takarekbank analysts wrote in a note.
At 0949 GMT the forint EURHUF= was 0.21% weaker against the euro at 414.25. The Polish zloty EURPLN= , however, was 0.20% firmer at 4.7005.
The National Bank of Poland (NBP) is expected to leave its main interest rate on hold at 6.75% at its meeting on Wednesday.
Governor Adam Glapinski will hold a press conference at 1400 GMT on Thursday.
"We are moving in a horizontal trend today with no issues in the calendar ... we are waiting for the MPC (monetary policy committee) meeting but more we are waiting for the NBP governor's speech," said Mateusz Sutowicz, a financial market analyst at Bank Millennium.
The central bank has kept rates steady at its last two sittings, but Glapinski has not as yet said that the tightening cycle is officially over.
Benchmark Polish 10-year bond yields PL10YT=RR were 4 basis points lower at 6.677, after rebounding by around 30 basis points on Monday.
"Until Wednesday's meeting of the MPC, a rise in yield curves can be expected," PKO BP analysts said in a note. "Yields on 2-year bonds may permanently exceed 7%, and on 10-year bonds they may increase towards 7.00%."
The Czech crown EURCZK= and the Romanian leu EURRON= were broadly stable at 24.332 and 4.914, respectively.
Latest Previo Daily Change
close change in
2022 EURCZK Czech
<EURCZ 24.332 24.332 +0.00 +2.22 =
% EURHUF Hungary <EURHU 414.25 413.40 -0.21% -10.83 =
% EURPLN Polish <EURPL 4.7005 4.7100 +0.20 -2.33% =
% EURRON Romania <EURRO 4.9140 4.9157 +0.03 +0.70 =
% EURHRK Croatia <EURHR 7.5530 7.5505 -0.03% -0.47% =
n kuna K=>
EURRSD Serbian <EURRS 117.22 117.27 +0.04 +0.31 =
Latest Previo Daily Change
close change in
1199.4 1202.7 -0.28%
Budapes .BUX 44452. 44666. -0.48% -12.36
% .WIG20 Warsaw <.WIG2 1733.6 1746.5 -0.74% -23.52
% .BETI Buchare <.BETI 12215. 12119. +0.80 -6.48%
% .SBITO Ljublja <.SBIT 1066.2 1067.5 -0.12% -15.07 P
% .CRBEX Zagreb <.CRBE 1911.6 1911.5 +0.01 -8.06%
% .BELEX Belgrad <.BELE 809.67 810.29 -0.08% -1.35% 15
<.SOFI 605.39 602.61 +0.46 -4.76%
Yield Yield Spread Daily
(bid) change vs
<CZ2YT 5.5910 0.0140 +349b +3bps RR
<CZ5YT 4.9390 0.0090 +307b +3bps RR
<CZ10Y 4.7040 0.0230 +285b +4bps =RR
<PL2YT 6.9550 -0.042 +485b -3bps RR
<PL5YT 6.8880 -0.030 +502b -1bps RR
<PL10Y 6.6770 -0.044 +482b -2bps =RR
Hungary <HUFFR 14.40 13.02 12.11 15.59
are for ask
Reporting by Alan Charlish in Warsaw and Anita Komuves in Budapest Editing by Vinay Dwivedi
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