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Koruna Stable Amid Light Local Headline Flow

CZK

EUR/CZK continues to sit close to neutral levels, last +0.005 at 24.020, after a failed test of the space below the 24.00 figure.

  • CZGB yield curve remains slightly steeper on the day, with 10s underperforming as we type. The Finance Ministry announced a plan to boost bond supply next month. It will now seek to sell CZK31bn worth of CZGBs versus CZK28bn previously.
  • Nomura listed Czechia among the economies at risk of FX crises, according to its "Damocles" gauge, which predicted 64% of the 61 EM FX crises since 1996.

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