The Czech bond market was completely dormant yesterday. Traders watched German Bunds, as usual, thus the bond prices initially rose to fell later. However the market was pretty this, as investors got ready for today’s 15-year auction. The Finance Ministry offers usual CZK 6 bn of 15-year benchmark. Stable bond prices for one week may support solid demand in the tender, moreover long section of the yield curve lured most interest in previous months. However, an overall negative trend on core markets may hold some investors to bid today. Therefore the demand might be lower than in previous tenders at CZK 9 bn. There’s no other relevant event today.
ČSOB Investment Research