Rare zloty weakness, Erdogan’s extended purge

The Polish zloty touched its weakest level against the euro this week since 2009 but we don’t expect the currency to lose any more ground from here. Meanwhile, Turkey’s President Erdogan took further steps to rip up the Agbal-era at the central bank. The new CBRT governor has pushed back against expectations that monetary loosing is imminent, but past experience suggests that a rate cut at April’s meeting is more likely than not.