On Tuesday morning the Czech currency started at EUR/CZK 31.500 and weakened
up to 31.630, i.e. to three-week low. The reason was in purchase of foreign
currencies for dividend repatriation. Such purchases might continue also
next days. In the afternoon the market calmed down and the koruna started to
gain. In the end the rate reached 31.555.
This morning the rate EUR/CZK
opened at 31.520 and should stay between 31.350 and 31.750. The Czech
currency lost against the dollar yesterday. The koruna opened at 27.290 and
before midday depreciated up to 27.38 due to movements on Eurodollar
markets. Later on the koruna wiped out its losses but the Conference Board
index pushed up the dollar again. The rate USD/CZK finished at 27.420. Today
the rate USD/CZK began at 27.360 and should stay in the range of 27.20 and
27.70.
Zdenek Safka, Investment Research, CSOB