The Czech koruna weakens to 28,11 CZK/EUR at today close, when worsening of rate hike expectations drew the currency down against regional mood. Today profit taking on the CZK was more significant than in last two days, when the pair was moving only modestly. The firming of the zloty and forint however indicates that positive sentiment on the CEE is not yet over.
The CZK closed virtually unchanged against the dollar at 21,97 CZK/USD. The USD weakens now, after Chinese central bank governor said China had a very clear plan to diversify reserves. Before that, US trade balance and Michigan university consumer sentiment were released. But, the market reaction was rather subdued.