The Slovak koruna was slightly weaker on Friday. The trading activity was weak ahead of the tree-day holiday. ARDAL agency sold SKK 5.4 bn of new 20Y T-bonds from SD206 series. It was historically the first successful auction. Later on, the market remained quiet also after the comment from SARIO investment agency that FDI should rebound soon. Yesterday, the EU Commission that EU-newcomers including Slovakia should continue to grow fast and KIA confirmed the start of trial production in its Slovak plant. The mass production should start by the end of the year and boost country’s export capacity. Today, EUR/SKK should look to neighboring markets for impetus as usual.
(CSOB - Investment research)