The zloty is the driver, said Jon Harrison, an emerging-markets strategist at Dresdner Kleinwort Wasserstein in London. Theres a relief as it happened in a lot of emerging markets. And thats helped bond market sentiment.
The yield on Polands 6.25% bond due October 2015 fell 2 basis points to 4.98% in Warsaw. Yields on Polish 10-year bonds are near the highest since February 2. Its price rose 0.10 or 1 zloty per 1,000 zloty face amount, to 109.45.
Hungarys 8% bond due February 2015 yielded 7.10% in Budapest, down 2 basis points from Wednesday. Its price rose 0.13, or 13 forint per 10,000 forint face amount, to 105.75. The yield touched a 13-month high of 7.17% on March 14, according to available data.
The zloty was little changed at 3.94 per euro in Warsaw after strengthening to as high as 3.93 earlier. It fell to 3.97 per euro on Wednesday. The forint was little changed at 266.20 per euro in Budapest, after rising to as high as 265.19 earlier.