The Polish zloty is holding strong. Euro rate close to the support line. The franc gains, the pound falls

Paired with the euro, the Polish zloty is trading close to its strongest levels since April. At the same time, the Swiss franc strengthened against the euro, which resulted in an increase in the CHF/PLN exchange rate. The British pound remains very weak.

On Thursday at 9:27 the euro exchange rate was PLN 4.2295, so there were no major changes compared to Wednesday evening. This means that the EUR/PLN exchange rate does not let up on testing the PLN 4.2250 line, which marks the lower limit of the sideways trend that has been ongoing since April.

Based on technical analysis, a possible break of the support line would result in a drop in euro rates to the area of ​​PLN 4.12-4.14 – this year's minimum at the end of February. Although few people on the market seem to be betting on such a scenario, the strength of the zloty in a rather average global environment remains surprising.

For several days now, on the world's main currency pairs, we have been observing the EUR/USD rate trying to make up for recent losses. The weakening dollar is generally good news for currencies from emerging markets, which also includes the Polish zloty. On the domestic market on Thursday morning, the price per dollar was PLN 3.6424, i.e. 0.7 groszy less than the day before.

However, the Swiss franc gained, having significantly strengthened in relation to the euro in the previous days. As a result, the Helvetian currency had to be paid PLN 4.5767 after the franc had increased in price by approximately three groszy over the previous two days.

The British pound was close to 6-year lows and could only be exchanged for PLN 4.7860. If Thursday's quotations end at this level, the pound-zloty pair will set the lowest closing price since September 2019. This is the result of the weakness of sterling against the euro and dollar resulting from the economic and budgetary problems of the United Kingdom.

K.K

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