Poland November Inflation Rate Probably Held Steady at 2.8%, Ministry Says

Poland’s annual inflation rate probably held steady at a nine-month high in November, the Finance Ministry said today.

Consumer prices rose 2.8 percent on the year, the same rate as in October, the Warsaw-based Finance Ministry said in an e- mailed estimate. That matched the median forecast of seven economists surveyed by Bloomberg. Consumer prices probably rose 0.2 percent from October, the ministry said.

The central bank left the main interest rate at a record low of 3.5 percent for a 17th month at the meeting on Nov. 23. The likelihood of a potential rate increase faded as core inflation, which excludes food and fuel prices, remained at a 34-month low and council member Andrzej Bratkowski said before the meeting it was “too late” for a preemptive move. He voted for a 50 basis-point increase at the meeting in August.

Three-month forward-rate agreements, contracts used by investors to bet on changes in interest rates, dropped to 4.22 percent yesterday from as high as 4.32 on Nov. 12 percent. The contracts are trading 34 basis points above the three-month Warsaw Interbank Offered Rate at 3.88 percent.

The Central Statistical Office is due to report the inflation data on Dec. 14.

To contact the reporter on this story: David McQuaid in Warsaw at Dmcquaid1@bloomberg.net

To contact the editor responsible for this story: Willy Morris at wmorris@bloomberg.net

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