The Czech koruna moved up a bit before Thursday's Bank Board meeting as it
opened at 30.955 and closed at 30.900. The strongest hit level was 30.845.
On the whole, trading was calm and technical.
The market is awaiting a
result of Bank Board meeting with monetary policy on the agenda. The 25 bps
interest rate cut is broadly expected, 50 bps rate decrease should push the
koruna lower. After the end of the meeting and 25 bps rate cut we anticipate
that the koruna should stay in the range of 30.800 - 31.000 and the USD/CZK
we expect to move from 31.050 to 31.550. The EUR/CZK opened at 30.900 and
the USD/CZK at 31.320 in the morning.
open max min cls open 31/10
EUR/CZK 30,955 30,960 30,845 30,900 30,900
USD/CZK 31,490 31,490 31,360 31,430 31,320
Stepanka Kuzilkova, Investment Research, CSOB