CEE MARKETS-Czech crown at one-month low as currencies return to weaker ground
PRAGUE, Nov 11 (Reuters) - Central Europe's currencies drifted on Wednesday, with the Czech crown weakening a touch to a one-month low as a stronger dollar caused headwinds and investors in the region took in the latest round of inflation data and central bank meetings.
Poland's local markets were closed for a public holiday on Wednesday.
Stock markets in Budapest .BUX and Bucharest .BETI pushed higher, while Prague's index .PX was dragged lower after a margin outlook cut by Czech defence group CSG CSG.AS, caused its shares to fall sharply
On currency markets, Romania's leu was steady at 5.3447 per euro at 1021 GMT, ahead of a central bank meeting on Thursday where analysts expect interest rates to remain unchanged
Only the Czech central bank has hiked rates this year, including at a meeting last week, as high energy prices caused by the Iran war pressure inflation
Poland may also tighten policy next year, analysts say, but Romania and Hungary, where rates are higher, are staying hawkishly on hold, with the latter recently pausing a loosening cycle
In Hungary, stronger-than-expected inflation data on Wednesday has likely pushed a return to rate cuts out to next year
Goldman Sachs said inflation could still stay below the Hungarian bank's target and, combined with a lower-than-expected 2027 budget deficit target, may give the bank "room to resume easing in the coming months"
The forint traded 0.2% lower at 365.20 per euro and inched toward the weaker end of a recent range, while the Czech crown dipped to 24.378 per euro; Poland's zloty was also down a touch at 4.4015 to the euro with domestic markets closed
CEE MARKETS SNAPSHOT AT 1121 CET
CURRENCIES
Latest trade
Previous close
Daily change
Change in 2026
Czech crown
24.3780
24.3600
-0.07%
-0.87%
Hungary forint
365.2000
364.6000
-0.16%
+5.25%
Polish zloty
4.4015
4.3980
-0.08%
-4.22%
Romanian leu
5.3447
5.3440
-0.01%
-4.69%
Serbian dinar
117.5700
117.6400
+0.06%
-0.23%
Note: daily change calculated from 1800 CET
STOCKS
Latest
Previous close
Daily change
Change in 2026
Prague
.PX
2640.44
2675.5400
-1.31%
-1.68%
Budapest
.BUX
145382.28
144586.39
+0.55%
+30.94%
Bucharest
.BETI
34364.01
34312.60
+0.15%
+40.61%
BONDS
Yield (bid)
Yield change
Spread vs Bund
Daily change in spread
Czech Rep 2-year
4.3046
0.0632
+123bps
+7bps
Czech Rep 5-year
4.5534
0.0298
+143bps
+4bps
Czech Rep 10-year
5.1556
0.0260
+185bps
+3bps
Poland 2-year
4.7940
-0.1050
+172bps
-10bps
Poland 5-year
5.6900
0.0080
+256bps
+2bps
Poland 10-year
6.1740
-0.0020
+287bps
+0bps
FORWARD RATE AGREEMENTS
3x6
6x9
9x12
3M interbank
Czech Rep
,
4.31
4.55
4.64
4.10
Poland
,
4.21
4.43
4.55
3.90
Note: FRA quotes are for ask prices