Poland’s Producer Price Index (PPI) for March recorded a year-on-year decline of -1.1%, aligning with market expectations.
The decline in producer prices, as indicated by the PPI, has persisted since August 2023. While the pace of this decline has notably slowed, it remains a key factor—especially when considered alongside lower-than-expected wage growth in the corporate sector (7.7% vs. expected 7.8%) and weaker-than-forecast industrial production growth (2.5% vs. expected 3.6%)—supporting the case for the start of an interest rate cut cycle as early as May.
“These data collectively strengthen the argument for monetary easing to begin soon,”
said Piotr Bawolski, CFA, Director of Strategic Clients at Michael / Ström Brokerage House.
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Source: ceo.com.pl
