On Monday, European stock exchanges ended with the major indexes lower. In the evening, we also notice a decrease in the zloty against the major currencies. Obviously, the Swiss franc appreciates. Gold and crude oil are more expensive.
WIG20 ended Monday’s session 3.44% lower, and WIG weakened 3.18%. – The week started on the Warsaw Stock Exchange with a dominance of supply, and the major domestic indices made new lows in the medium term, which is a negative sign. Emotions seem to be starting to come to the fore, which sometimes precedes a tipping point, but so far there is no sign of a tipping point. The psychological support somewhat closer to the WIG20 is about 2,000 points – Sobislaw Kozowski, director of the analysis and consulting department at Noble Securities, told the Polish news agency.
– We will learn more about the state of the market in the Tuesday session, because on the one hand, US investors will return to play after today’s holiday, and on the other hand, if we look at the region further, another rate hike is expected in Hungary. Kozovsky added that this, in turn, may show regional sentiment towards the banking sector, which has lost its value in our market in recent days. Konrad Ryczko of Dom Maklerski BOŚ noted that the first session of the week on the Warsaw Stock Exchange saw a test of the lowest levels since May 2021.
The German DAX and the French CAC40 were down more than 2%. In contrast, approximately 0.4 percent. The British FTSE100 index lost. As in recent days, Russia’s RTS was at the forefront of the declines, ending trading by more than 13%. discounted. The US stock market fell on Monday due to President’s Day.
“Increasingly stronger easterly winds are starting to blow in the markets. Will it bring some kind of déjà vu to what happened in March 2020? Then we completely panicked in the markets due to the global shutdown. It is difficult to assess. However, the scenario of a sharp increase in geopolitical risks could be very strong It will complicate decisions by central banks, who will begin to fear that anti-high inflation policy may eventually lead to a long-term stagnation of inflation,” wrote Marek Rogalski, senior analyst at Dom Maklerski BOŚ, in a comment published during Monday’s session.
Euro, Dollar, Franc and Pound Sterling – Quotes on February 21
On Monday afternoon, we saw an increase in the zloty against the Euro, the Dollar and the British Pound. At about 3:15 pm, the rate was approximately 4.53 PLN, the US dollar was 3.99 PLN, and the British pound was 5.43 PLN.
The situation changed in the evening. On 19.05, you had to pay 4.00 PLN for 1 dollar and about 5.45 PLN for 1 pound. The EUR/PLZ was close to 4.54.
We saw an even bigger increase in the CHF/PLZ pair. For the Swiss franc at 19.05, you had to pay 4.37 PLN. “The dollar remained weak on Monday, but it is clear that the Swiss franc is rising, which the Japanese yen is slowly trying to follow. For several days, US debt and gold prices have also drawn attention. Thus, there is a growing interest in safe havens,” noted Marek Rogalsky.
Gold and oil are rising
On Monday night, the price of gold jumped to over $1,900 an ounce.
Crude oil is also more expensive. Brent and WTI prices are still at levels not seen since 2014.
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