The Slovak koruna benefited from the
improved emerging market sentiment and
firmed close to the level of 37.50 EUR/SKK.
The August inflation data were not able to
change the course of events, as they were
not far from consensus.
Today, the calendar
is very thin, as the retail sales and wages
are no market movers. The koruna is
expected to continue to move in line with
other regional markets and if the sentiment
remains positive, it could test the EUR/SKK
37.50 again which is perceived as a solid
resistance. If this level is broken, the unit
might further extent its gains. However, we
do not anticipate it to take positions stronger
than 37.40 EUR/SKK permanently in the
short term.
(CSOB - Investment research)