CEE MARKETS-Stocks fall as new data reveals scale of virus hit
By Anita Komuves
BUDAPEST, May 21 (Reuters) - Central European stock markets
eased on Thursday as markets around the world switched into
risk-off mood and fresh data in the region showed the
devastating effects of the pandemic, with Polish industrial
output dropping 24.7% year-on-year in April.
The export-driven economies of the CEE region have been hit
hard by the lockdown measures introduced to curb the spread of
the coronavirus.
The International Monetary Fund forecast that economies in
the region will contract by 3% to 7% this year due to the
pandemic.
Equities in the region were down with Prague's blue chip
index leading losses by dropping 0.74% by 0726 GMT. Warsaw
was down 0.4% while Budapest eased 0.3%.
Bucharest's stock market was down 0.2%.
Currencies were mostly stable with the Czech crown firming
0.3% to 27.230 versus the euro. The Polish zloty and the
Romanian leu were little moved.
The Hungarian forint firmed 0.06% to 349.650 against the
euro. The currency has been trading near the 350 level for the
past few sessions.
"The international mood and possible further steps from the
NBH could give a new direction to the forint," an FX trader in
Budapest said.
"Many people expect policy loosening from the central bank
sooner or later, a lowering of the interest rate on the one-week
deposit tender, or that the bank accepts a smaller amount of
bids to boost liquidity," he added.
The NBH holds its one-week deposit tender later today. The
NBH has been offering the facility at the 0.9% since it was
introduced.
In a Reuters poll some economists said the bank might lower
the interest rate on the facility later this year if the forint
remains stable and the scale of damage to the economy from the
pandemic gets clearer.
** For an interactive graphic on CEE economic developments: reut.rs/3exsJHO
CEE SNAPSHO AT
MARKETS T 0926
CET
CURRENC
IES
Latest Previou Daily Change
s
bid close change in 2020
EURCZK Czech <EURCZK 27.2300 27.3200 +0.33% -6.60%
= crown =>
EURHUF Hungary <EURHUF 349.650 349.850 +0.06% -5.29%
= forint => 0 0
EURPLN Polish <EURPLN 4.5349 4.5352 +0.01% -6.14%
= zloty =>
EURRON Romanian <EURRON 4.8440 4.8434 -0.01% -1.15%
= leu =>
EURHRK Croatian <EURHRK 7.5750 7.5765 +0.02% -1.71%
= kuna =>
EURRSD Serbian <EURRSD 117.530 117.570 +0.03% +0.03%
= dinar => 0 0
Note: calculated from 1800
daily CET
change
Latest Previou Daily Change
s
close change in 2020
.PX Prague 872.10 878.570 -0.74% -21.83%
0
.BUX Budapest 35535.4 35635.5 -0.28% -22.89%
8 2
.WIG20 Warsaw <.WIG20 1646.26 1652.64 -0.39% -23.43%
>
.BETI Buchares 8403.91 8419.75 -0.19% -15.77%
t
.SBITO Ljubljan <.SBITO 809.74 809.74 +0.00% -12.54%
P a P>
.CRBEX Zagreb <.CRBEX 1581.30 1581.30 +0.00% -21.62%
>
.BELEX Belgrade <.BELEX 673.50 673.50 +0.00% -15.99%
15 15>
.SOFIX Sofia <.SOFIX 448.91 449.45 -0.12% -20.99%
>
Yield Yield Spread Daily
(bid) change vs Bund change
in
Czech spread
Republic
CZ2YT= 2-year <CZ2YT= 0.1250 -0.0080 +080bp +0bps
RR RR> s
CZ5YT= 5-year <CZ5YT= 0.3750 -0.0770 +104bp -8bps
RR RR> s
CZ10YT <CZ10YT 0.8280 0.0370 +131bp +5bps
=RR 10-year =RR> s
Poland
PL2YT= 2-year <PL2YT= 0.5410 -0.0230 +122bp -2bps
RR RR> s
PL5YT= 5-year <PL5YT= 0.9330 0.0000 +160bp +0bps
RR RR> s
PL10YT <PL10YT 1.3850 0.0000 +186bp +1bps
=RR 10-year =RR> s
FORWARD
3x6 6x9 9x12 3M
interba
nk
Czech <CZKFRA 0.23 0.24 0.25 0.34
Rep ><PRIBO
R=>
Hungary <HUFFRA 0.87 0.83 0.79 1.01
><BUBOR
=>
Poland <PLNFRA 0.40 0.37 0.37 0.68
><WIBOR
=>
Note: are for ask
FRA prices
quotes
(Editing by Giles Elgood)
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