4 Mar 2015
EUR/PLN targets 4.0879 – Rabobank
FXStreet (Edinburgh) - Strategists at Rabobank expect the strength in the Polish currency to drag the cross lower in the medium term.
Key Quotes
“We prefer to focus on lower levels in EUR/PLN with the 2014 low at 4.0879 as our mid-term objective”.
“Capital inflows fuelled by the ECB’s full-scale QE will be the main driving factor as Polish bonds still offer an attractive yield”.
“The narrowing interest rate differential might slow down the descending trend in EUR/PLN, but is unlikely to reverse it”.
“The ongoing conflict in eastern Ukraine is the main risk factor to our positive view on the PLN against the euro”.
“The Fed’s monetary policy normalisation will continue to weigh on the PLN versus the USD”.
Key Quotes
“We prefer to focus on lower levels in EUR/PLN with the 2014 low at 4.0879 as our mid-term objective”.
“Capital inflows fuelled by the ECB’s full-scale QE will be the main driving factor as Polish bonds still offer an attractive yield”.
“The narrowing interest rate differential might slow down the descending trend in EUR/PLN, but is unlikely to reverse it”.
“The ongoing conflict in eastern Ukraine is the main risk factor to our positive view on the PLN against the euro”.
“The Fed’s monetary policy normalisation will continue to weigh on the PLN versus the USD”.