The koruna moved in a tight range on Friday

As expected, PPI figure didn’t move the market. October’s producer price index was up by 1.1%, which is more or less in accordance with expectations. As every year, mainly higher electricity prices caused by October’s introduction of winter price lists fuelled the rise in the price level. Another contributor to this year’s PPI rise is the refining industry, where prices resumed rising significantly after September’s pause. Nevertheless the rise in producer prices should not make the central bank change its current stance on not raising interest rates.

Today the market will watch a current account figure. It may bring some relief on the market because it should post considerably lower deficit than a month ago. Nevertheless traders are more or less ready for such positive result, thus we do not expect a sharp reaction.