NBP could remain ‘on-hold’ for the rest of the year – TDS

FXStreet (Edinburgh) - In lights of today’s rate cut by the NBP, strategists at TD Securities now expect the central bank to remain ‘on-hold’ for the rest of the year.

Key Quotes

“Looking forward over the rest of the year, in spite of the NBPs comments today, there are still some downside risks to rates if, for example, Polish growth slows, or if commodity prices move down further”.

“However, we think these risks are now more or less balanced with risks to the upside and we expect the policy rate to remain on hold at 1.5% for the rest of this year”.

“Next year, as Polish inflation moves clearly into positive territory and Eurozone growth picks up, we expect rates to be gradually hiked”.

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