The Czech koruna closed its today trading stronger against the euro at 28,16 CZK/EUR. In the morning, Czech CPI was released. Both, the m/m and y/y number were lower than the market expected. The difference however wasn´t big, so the FX market didn´t react to the release. After stagnation in the first part of the session, the CZK firmed in the afternoon, dragged by the Polish zloty. If the positive external conditions remain, we will expect another firming of the Czech currency towards the 28,10 level.
The koruna ended weaker versus the US dollar at 22,36 CZK/USD. This is mainly due to the Friday dollar rally. Today, the USD/EUR consolidates at the 1,2600 level, in absence of fresh macro news, and when number of US banks have holidays during the Columbus Day.