Yesterday trading of the EUR/USD was calm again and has a technical
character. The Czech currency stayed in the range of 30.540 - 30.620. Versus
the U.S. dollar the koruna was firming all day long copying the development
of the EUR/USD on the world markets. The koruna reached the value of 32.800
per dollar (also close value) which is its strongest level from the end of
January 1999.
Today CNB Bank Board meeting should not bring any surprises;
the rates should stay unchanged and whereas the EUR/CZK calmed, we don't
expect any surprising comments to the koruna's level. The EUR/CZK should
remain in the range 30.450 - 30.700 and the USD/CZK in bracket from 32.400 -
33.000. This morning the EUR/CZK opened at 30.600 and the USD/CZK at 32.690.
EUR/CZK 30,565 30,620 30,540 30,570 30,600
USD/CZK 32,870 32,960 32,800 32,800 32,690
Martin kocura, CSOB Investment Research