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Participants Mull CPI Data, Current Account Balance On Tap

CZECHIA
  • After yesterday's release of May CPI data, Ceska Sporitelna write that an outturn weaker than the CNB's forecast should reduce the odds of another rate hike and they expect rate stability to continue until November. CSOB observed that "compared to April (...) the difference between the forecast and reality did not increase, and from this point of view, this is not a new anti-inflationary surprise," as they "continue to expect the first cautious decrease in interest rates at the end of this year (4Q2023 by 50bp)."
  • On the political front, Prime Minister Petr Fiala and other ministers will discuss the proposed fiscal consolidation measures with representatives of trade unions this morning. Later in the day Senate Speaker Milos Vystrcil will receive Taiwanese Foreign Minister Joseph Wu.
  • Czechia's April current account balance will cross the wires at the top of the hour. Surplus may have widened to CZK17.50bn from CZK11.27bn.

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