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CNB Rate Decision Coming Up (13:30BST/14:30CEST)

CZECHIA
  • The CNB rate decision is coming up at 13:30BST/14:30CEST. Market pricing indicates slightly weaker conviction among traders than would be suggested by the unanimous sell-side call for a 50bp rate cut (several notes circulated earlier this week suggested that a ~35bp move was priced in).
  • That said, another half-point cut seems to be the most likely scenario for this meeting, with all 21 economists surveyed by Bloomberg foreseeing a 50bp move.
  • The central bank will publish its latest macroeconomic forecasts and may provide details on research into a new estimate of Czechia's r*. Governor Ales Michl will discuss the monetary policy decision at 14:45BST/15:45CEST.
  • See our full preview, with sell-side analyst views, here.

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