Yesterday's morning the koruna was quite nervous and moved between 30..340 -
30.430, waiting for the results from the monetary meeting of the central
bank's board. After the CNB announced, that it had decided to leave interest
rates flat and did not enter the market, the koruna reached 30.150 and
closed at 30.200. Vis-a-vis the dollar the koruna moved between 30.870 -
31.080 and closed on the stronger level of this bracket. Regarding to
meeting results and thanks to Fridays' calm trading we assume the EUR/CZK
should remain in range 30.050 - 30.300. This morning the EUR/CZK opened at
30.160 and the USD/CZK at 30.890.
The Governor of the CNB Z. Tuma said, that the koruna's rate was still quite
strong and the CNB was ready to intervene against the koruna whenever. Due
to the strong currency the performance of the Czech economy is still below
its potential by 1 - 1.5%. According to Tuma, the risks of the current
inflation prognosis are quite balanced and therefore the CNB Board opted for
not changing the rates. However, Tuma said: "A movement cannot be ruled out
for next time." At the next monetary meeting the CNB will also discuss a new
prognosis of inflation.
open max min cls open 27/9
EUR/CZK 30,400 30,430 30,150 30,200 30,160
USD/CZK 31,050 31,080 30,870 30,990 30,890
Stepanka Kuzilkova, Investment Research, CSOB