On Friday the Czech currency began at 31.730 per the euro and at 27.630 per the dollar. It appreciated against the euro mainly due to government success in confidence voting and in passing the financial bills by Parliament. The rate EUR/USD closed at 31.615. This morning it opened at 31.620 and should move in a range of 31,500 and 31,700. The development of the Czech koruna against the greenback was similar. The Confidence index of UNI Michigan decrease also supported the koruna and the USD/CZK rate closed at 27.575. It opened at 27.610 today and should stay between 27.480 and 27.720. We do not expect any political, statistical nor economic stimuli to help the koruna on Monday.
CSOB, Investment Research