Czech bonds opened weaker on Friday, as they tracked a drop of core markets in American trading on Thursday. The yields added around 3 bps in the middle and the long sector of the curve. The activity was low as in previous days. Today the activity of traders hardly rises, as no important event is scheduled. The only event, which investors keep in the mind is the central bank’s meeting on Thursday. Nevertheless, even that stimuli might push only limited worry on the market, because almost no one expects any interest rate action after central bankers’ comments last week. A development on the political scene has little importance for the market. All at all, price action on the core markets might be decisive again today.
(CSOB - Investment research)