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FX Market Interventions Are 'Auxiliary' Policy Tool

CZECHIA
  • The CNB statement showed that 5 policymakers voted to raise interest rates on Wednesday (vs. 2 unchanged, very likely to be Dedek and Michl).
  • The CNB still sees strong inflationary risks to forecast (i.e. surging energy prices, weaker FX ...).
  • *CZECH CENTRAL BANK KEEPS FX INTERVENTION STRATEGY UNCHANGED
  • *MARKET INTERVENTIONS PREVENTING CZECH KORUNA WEAKENING: RUSNOK
  • *MARKET INTERVENTIONS ARE `AUXILIARY' CZECH POLICY TOOL: RUSNOK (bbg)

Link to CNB statement:

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