The EUR/USD, the major currency pair in the world, remained in a horizontal trend throughout the course of the week. After declining to $1.4580 on the last day of the year, it kept slowly rebounding in order to jump all the way to $1.4790 on Friday after the Nonfarm Payrolls publication showed that 18K new jobs were added in the US. Unemployment rate jumped to 5.0%.

The Polish Złoty stopped advancing against the Euro and the Swiss franc. Worse performance of global equities markets caused risk aversion to increase, which in turn caused investors to close positions on more risky investments. The EUR/PLN climbed from zł.3.5820 all the way to zł.3.6015 reaching even zł.3.6150 on Wednesday. In worse mood are citizens who took credit in the Swiss franc. Higher than expected inflation in Switzerland and the possibility of interest rate hikes caused the CHF/PLN to advance from zł.2.1590 to zł.2.2010. Analysts expect that Swiss interest rates will jump even to 3.25% (from the current 2.75%) making credit payments more expensive. The Polish currency gained only against the weakening American dollar. The USD/PLN after climbing to zł.2.4670 tumbled to zł.2.4320 after Friday’s payrolls publication.

Adam Narczewski