WIG20 rises above 4,100 as banks lead gain

The broader WIG gained 0.51%, while mWIG40 slipped 0.22% and sWIG80 added just 0.25%. Turnover across the market reached 3.56 billion zlotys, with 3 billion zlotys traded in WIG20 stocks, underscoring strong institutional participation.

The rally was helped by a pullback in oil after Brent briefly tested $110 a barrel overnight, its highest since May 2026, before easing on a Financial Times report about efforts to reach an understanding with Iran over shipping through the Strait of Hormuz. For equities, that mattered because cooler energy prices reduce near-term inflation pressure and take some heat out of bond yields.

That bond relief was visible in U.S. Treasuries, where yields retreated from multi-year highs as supply concerns remained but the market found room to breathe. The latest U.S. CPI reading, at 3.4% year on year and 0.4% month on month, matched expectations exactly, removing the risk of an upside surprise ahead of next week’s Federal Reserve meeting.

On Wall Street, the calmer backdrop lifted risk appetite, with the S&P 500 up 0.8% and the Nasdaq 1% higher late in the session. European markets also firmed, with the DAX, FTSE 100 and CAC 40 all in the green as the global tone turned less defensive.

In Warsaw, banks again did the heavy lifting. The WIG-Banki index rose 0.81% to 27,366 points, after setting a fresh intraday record at 27,568.37 points, helped by Thursday’s remarks from National Bank of Poland Governor Adam Glapiński that traders took as a signal rates are likely to stay unchanged for now. mBank climbed 1.46%, and all of the big lenders finished higher.

That matters for investors because a more predictable rate path supports net interest margins and reduces uncertainty around the sector’s earnings outlook. With banks still the main engine of the WIG20, their strength has become the key reason the index is holding near highs even as other segments lag.

Among blue chips, KGHM rebounded 1.4%, CD Projekt led the index with a 2.08% gain, Orlen rose 0.98% and Budimex added 1.84% after management said it aims to lift revenues 6%-10% by 2027. Energy stocks, after a long run-up, finally cooled, with PGE down 1.2% and Tauron off 1.12%.

The risk for the coming days is a return of pressure from crude and sovereign yields, especially if geopolitical tensions in the Middle East intensify or the Fed surprises at next week’s meeting. For now, though, the market’s message is clearer: Poland’s main index can still climb when oil eases, inflation behaves and banks keep setting the pace.