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Koruna Remains On Defensive

CZK

EUR/CZK still holding firm as the Koruna is the worst EMEA performer save for the South African Rand. The rate last operates +0.080 at CZK23.402, creeping towards its earlier session highs (CZK23.412), albeit from a longer-term perspective the rate continues to operate in the vicinity of multi-year lows.

  • CZGBs remain on the back foot, trading 0.3-5.1bp cheaper across the curve. The PX index has slipped into negative territory after lodging its best levels since Mar 7.
  • Data from the Automotive Industry Association released earlier in the day showed that Czechia's car production approached pre-pandemic levels in Q1.
  • Elsewhere, Czech Agriculture Minister said that Czechia is not planning to impose a ban on Ukrainian agricultural imports, unlike other Visegrad Four countries.

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