Koruna Loses Ground, Lawmakers Debate Pension Bill

EUR/CZK shot higher in early trade alongside the other two EUR/CE3 crosses, but it has now given away the bulk of earlier gains. The pair sits +0.079 at CZK23.611, with bulls looking for an attack on the 50-DMA, which intersects at CZK23.806. On the flip side, bears keep an eye on Mar 1 low of CZK23.343.

• CZGBs are marginally firmer after erasing their initial gains, they last trade 0.6-3.4bp richer. The Finance Ministry sold CZK7bn of 2030 bonds and CZK2.684bn of 2037 bonds at auctions today.
• Local equity benchmark PX index has added ~0.7% this morning, chewing into yesterday's losses, with bulls setting their sights on the recent cyclical high printed on Mar 6 at 1,433.
• Czech Senators are holding a heated debate on the government's plan to reduce pension growth. The proposal failed to win a recommendation at committee level, putting a swift passage of the bill at risk. The government wants the legislation to be adopted by the March 22 deadline.