Given the lack of important domestic economical events the Czech bonds found their inspiration at neighbouring core markets on Friday and slightly increased. As usually, political problems with forming of a new cabinet have not influenced the market.
No Czech statistical data are expected this week. However, the most important event is the CNB meeting on Thursday. We do not expect any rate change and the market could concentrate on the governor’s commentary. Moreover, ECB has its meeting at the same date and the following conference should be important for both euro zones and Czech markets. So we continue to expect a political development have no negative impact on the bond market and Czech bonds should follow core market movements.
(CSOB - Investment research)