The koruna fell against euro to its weakest level in last four months after
a few days of calm trading. The EUR/CZK reached the level of 30.440 from
30.270 during morning trading, broke the level of 30.800 in the afternoon
and closed at 30.720. The robust fall was caused by sales of koruna from
foreign bank. The decline in construction output released yesterday had no
impact on Czech currency. The koruna firmed vs. the dollar as the dollar
weakened against the euro on euro-dollar markets. The USD/CZK touched the
level of 31.790 from 31.280 in the beginning of trading and closed at
31.630. The market will watch inflation figure today, which is supposed to
decline at a record low. We expect the EUR/CZK to move between 30.650 -
30.950 and the USD/CZK should move in the range of 31.200 - 31.700.
Construction output fell by 1.3% in June and adjusted for number of workdays
was 0.1% lower. CNB foreign exchange rose to EUR 22bn in July.
open high low close today (8.8.)
EUR/CZK 30.270 30.800 30.270 30.720 30.910
USD/CZK 31.280 31.790 31.265 31.630 31.680