The Czech koruna started today session by firming to 28,46 CZK/EUR on positive sentiment after yesterday´s Fed and the declining dollar. This changed during the day, when negative regional impact turned out to be stronger factor than the weak dollar. Slovak politics and Hungarian economy still push the CE currencies lower. Czech politics are still marginal for now, but Czech PM´s talks about new cabinet may be worrying for the market because of possible participation of the communists.
The CZK firms against the dollar and trades at 22,32 CZK/USD. This is a result of the Fed and consecutive dollar weakening. Moreover, today US PCE price index was worse and expected, supporting fears of the end of the Fed´s tightening cycle.