The Czech koruna opened the year at 30.440 against the euro

The Czech koruna opened the year at 30.440 against the euro little changed from its Friday’s close at 30.460. No macroeconomic data were released in the morning and the koruna had no particular reason to move. Bank holiday in London dampened the activity on the market. Later on, the koruna clawed back its earlier losses and in volatile trading and closed around 30.40.

Overall the 2004 state budget gap at CZK 93.53 bn did not bring any surprise and did not influenced the FX market. Today’s minutes of the last CNB meeting might not reveal any new information. Thus overall sentiment toward emerging markets may play a decisive role again. We expect the koruna may continue to strengthen slightly.

ČSOB - Investiční výzkum