INSIDE CZECH REPUBLIC: Koruna Gains 3rd Day as 10-Yr Bond Drops

Koruna strengthens

  • NOTE: Czech Leaders Clash Over Euro Vote as President Urges Fast Entry
  • Better-than-expected GDP reading won’t generate “excessive” appreciation pressure on CZK, Erste analysts, including Juraj Kotian, write in e-mail
  • Erste still sees koruna at 27.5/EUR at end-1H
  • Yld on bmark 10-yr govt note +1bp to 0.83%, 3rd day rising; bonds trade 33bps above Germany.
  • PX Index +0.7%, after dropping 0.8% last wk; CEZ rises, O2 trades after spinoff
  • EMFX MONITOR: Ruble to Bounce as Oil Recovery Negates Weak PMI