Czech bonds eased slightly yesterday in
step with price action in core bond markets,
but trading was rather soft. As concerns a
development in the money market – rates
stayed unchanged, though the koruna
closed slightly weaker.
Given the empty domestic calendar, the
bonds will probably follow German Bunds as
usual, though the short end of the yield
curve might move down, if the koruna tracks
the recent gains of its FX peers.
(CSOB - Investment research)