The Czech koruna opened at 29.220 and was slightly weaker after yesterday’s trading. As yesterday’s calendar of economic events was empty, the koruna followed the developments in the region. The regional sentiment was rather negative yesterday due to strengthening the US dollar and the outflow of investment from central Europe. Beside that there was a negative impact on the Koruna arising from deepening political crises in Slovakia. After falling as low as to 29.34 EUR/CZK, it slightly regained and closed at 29.280 EUR/CZK.
Today’s domestic events including production prices and retail sales should not surprise the markets. Hence the sideways market may prevail even today.
(CSOB - Investment research)