Euro at its highest in three years in response to the political crisis in Poland

Analysts warn of rising political risks in Poland ahead of elections, impacting the złoty and government bonds. Recent events have led to a decline in the złoty and Polish treasury yields may rise to 7%. The stock market is reacting to these developments, with a significant drop in the WIG index. Investor sentiment is affected by tensions surrounding the Constitutional Tribunal. The euro has reached its highest level against the złoty in three years, indicating ongoing currency depreciation. Analysts suggest that while the złoty may continue to weaken, there could be a potential for stabilization in the future.