Koruna Loses Ground, Budget Balance On Tap
EUR/CZK has turned bid this morning and last deals +0.059 at 24.125, with bulls taking aim at the 24.3 resistance zone. Bears look for a pullback towards round figure/Aug 21 low of 24.000/23.977. When this is being typed, CZGB yields sit higher across the curve.
- Czechia's S&P Globala Manufacturing PMI improved to 42.9 in August from 41.4 prior versus 41.8 expected. Komercni banka observed that "crucially (...) expectations for output over the next twelve months remained positive in August, with the level of confidence improving further from July."
- President Pavel is yet to sign the government's pension reforms, even as Prime Minister Fiala told him that every month of delay will cost the state budget billions of korunas. Pavel is expected to discuss his views on the matter later today.
- The Finance Ministry will release monthly budget balance at 12:00BST/13:00CEST.