October 10, 2023 07:12 GMT
Koruna Takes Hit From Below-Forecast Inflation Data, CNB To Release Comments Later Today
- The koruna went offered this morning as CPI inflation came in at +6.9% Y/Y, printing below the consensus forecast (+7.5%) and the CNB's projection (+7.2%), supporting the case for an earlier start to the rate-cutting cycle. EUR/CZK rallied as high as to 24.598 as the koruna landed at the bottom of the EMEA pile amid the addition of dovish CNB wagers, with the local FRA curve shifting lower. The central bank will release its comments on the latest inflation outturn at 12:00BST/13:00CEST.
- Hospodarske Noviny circulated a piece noting that the CNB's decision to cancel remuneration for mandatory minimum reserves will likely affect customers, with local banks expected to pass on at least some of the resultant costs by reducing interest on savings accounts and deposits.
- Pirate Party leader Ivan Bartos said that his ambition is to boost his party's score in the next general elections to 15%, which would translate into around 40 seats in parliament. He told Mlada Fronta Dnes that involvement in the current government is not denting support for the Pirates.
- Czech Prime Minister will meet with his Uzbek counterpart this morning. Later in the day, the Premier will attend an event hosted by the Confederation of Industry and attend an engineering fair.