January 03, 2014 | Cbonds
Polish zloty and T-bond markets remain in holiday mood as a consecutive long weekend is approaching and price levels are seen vulnerable in low liquidity, local players said.
"The local inter-banking market remains in the post-holiday sluggishness and with limited liquidity, individual transactions have a greater effect on valuations than usual," Pekao analysts said in their morning research. "The zloty may lose to main currencies, though in the case of EUR/PLN resistance at 4,1780-4,1800 should not be broken."
The T-bond market is expected to remain under pressure as the market is waiting for next week's supply on the primary market, Pekao analysts said adding that sentiment on global markets will also be of significance to the local market.
Polish markets are closed on Monday for a public holiday.
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