Yesterday's final inflation numbers confirmed an increase in inflation in Poland from 4.3% to 4.9%, ING’s FX analyst Frantisek Taborsky notes.
CEE FX appreciates the current calm
“Official core inflation numbers for September will follow today. We also expect a rise here from 3.7% to 4.3% YoY. In the Czech Republic, PPI numbers will be released, one of the last key numbers before the November Czech National Bank meeting.”
“The markets saw another dose of reassurance yesterday, supporting the entire emerging market space in a recovery. Central and Eastern Europe (CEE) FX appreciated the calm, especially in the Czech Republic and Hungary, however rates markets rallied across the region. Signs of calm or at least avoidance of further escalation in the Middle East benefit the EM space and sets the stage for further gains within the region.”
“Although the calendar doesn't have much to offer today, yesterday's turn in the global story should be supportive today as well. Like yesterday, the CZK is our currency of choice for current conditions.”
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