CEE MARKETS-Central European stocks jump in relief rally after U.S. pauses tariffs
WARSAW, April 10 (Reuters) - Central European stock exchanges rebounded sharply on Thursday in line with other global bourses, with Warsaw gaining over 6% after U.S. President Donald Trump said he would temporarily lower the hefty duties he had imposed on dozens of countries.
Following a days-long market rout that erased trillions of dollars from global stocks and jolted U.S. Treasury bonds and the dollar, Trump on Wednesday announced a 90-day pause on many of his new tariffs in a shock reversal.
Central European stock indices - after posting their biggest weekly losses in more than three years last week - saw their biggest jump in years, led by a 6.2% rise in the Warsaw blue-chip index .WIG20 at 0717 GMT, joining a global relief rally.
Prague .PX rose 5.7% in early trading and Budapest .BUX gained 4%. The rise in Warsaw and Budapest indices was the largest since those seen in relief rallies after Russia's invasion of Ukraine in 2022.
Central European currencies also soared, recovering many of their losses following a week of frantic trading.
The Polish zloty EURPLN= and Hungarian forint EURHUF= jumped more than 1% in after-hours trade following Trump's announcement of the tariff pause and held onto to those gains in early trading on Thursday, at 4.26 and 405.25 to the euro, respectively.
Polish Finance Minister Andrzej Domanski said on Thursday that the suspension of U.S. tariffs was "good news" and it showed the U.S. administration's will to deescalate the trade conflict.
"Risk rebounds amid tariff reprieve for most countries," Morgan Stanley said in a morning note.
CEE MARKETS SNAPSHOT AT 0916 CET | |||||
CURRENCIES | Latest trade | Previous close | Daily change | Change in 2025 | |
Czech crown | EURCZK= | 25.1150 | 25.1850 | +0.28% | +0.37% |
Hungary forint | EURHUF= | 405.2500 | 409.9000 | +1.15% | +1.52% |
Polish zloty | EURPLN= | 4.2600 | 4.2900 | +0.70% | +0.39% |
Romanian leu | EURRON= | 4.9775 | 4.9782 | +0.01% | -0.02% |
Serbian dinar | EURRSD= | 117.0600 | 117.2100 | +0.13% | -0.09% |
Note: daily change calculated from 1800 CET | |||||
| |||||
STOCKS | Latest | Previous close | Daily change | Change in 2025 | |
Prague | .PX | 2044.49 | 1934.4200 | +5.69% | +16.15% |
Budapest | .BUX | 87778.44 | 83392.57 | +5.26% | +10.65% |
Warsaw | .WIG20 | 2585.23 | 2433.75 | +6.22% | +17.94% |
Bucharest | .BETI | 17207.85 | 16545.57 | +4.00% | +2.91% |
| |||||
BONDS | Yield (bid) | Yield change | Spread vs Bund | Daily change in spread | |
Czech Rep 2-year | CZ2YT=RR | 3.3690 | 0.1150 | +149bps | -5bps |
Czech Rep 5-year | CZ5YT=RR | 3.6770 | 0.0040 | +145bps | -13bps |
Czech Rep 10-year | CZ10YT=RR | 4.1700 | -0.0380 | +149bps | -14bps |
Poland 2-year | PL2YT=RR | 4.5770 | 0.0010 | +270bps | -16bps |
Poland 5-year | PL5YT=RR | 4.9990 | 0.0440 | +278bps | -9bps |
Poland 10-year | PL10YT=RR | 5.4490 | 0.0120 | +277bps | -9bps |
| |||||
FORWARD RATE AGREEMENTS | 3x6 | 6x9 | 9x12 | 3M interbank | |
Czech Rep | CZKFRA, PRIBOR= | 3.39 | 3.18 | 3.01 | 3.68 |
Hungary | HUFFRA, BUBOR= | 6.55 | 6.46 | 6.07 | 6.51 |
Poland | PLNFRA, WIBOR= | 4.66 | 4.22 | 4.00 | 5.63 |
Note: FRA quotes are for ask prices | |||||
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