WARSAW, July 11 (Reuters) - Central European currencies held largely steady on Friday as investors as they assessed more U.S. trade tariffs and awaited developments regarding potential levies on the European Union.
The U.S. dollar rose on Friday, fuelled by upheavals on the global trade landscape, as U.S. President Donald Trump announced more import tariffs, ranging from 35% on neighbouring Canada to plans for blanket levies of 15% or 20% on most trading partners.
Trump said on Thursday the EU could receive a letter on tariff rates by Friday, throwing into question the progress of trade talks between Washington and the bloc.
"Friday is another day without significant macro releases, so investors will focus on potential new reports on U.S. tariffs," PKO BP analysts wrote in a note.
The Polish zloty EURPLN= was flat against the euro at 4.2550 by 0841 GMT, trading near its lowest levels this week.
In Romania, data on Friday showed that annual inflation rose slightly above market expectations in June. Analysts say pending tax hikes will drive it considerably higher by year-end, likely delaying interest rate cuts until next year.
The Romanian leu EURRON= was also flat against the euro at 5.0799.
"We perceive that 5.05-5.10 is the new central bank comfort range for the EUR/RON, as further RON weakness could add undesired fuel to the inflationary fire," Erste Group analysts wrote in a note.
"FX vulnerability remains high due to large current account deficit and high-risk premia. Hence, higher cost of carry might be required to fence the RON," they added.
The Czech crown EURCZK= edged 0.1% lower to 24.6550, off a more than one-year high of 24.5990 hit early this week.
"The koruna's recent gains against the single European currency were driven mainly by the Czech National Bank's hawkish rhetoric, which led to a visible widening of the differential between the koruna and the euro's market interest rates," Komercni Banka analysts wrote in a note.
Elsewhere, the Hungarian forint EURHUF= eased 0.2% to 399.50 per euro, staying on the stronger side of the 400 psychological level, where it has largely remained since late June.
Equilor analysts said 398 was a robust support level for the euroforint, while strong resistance remained in the 400-401 zone.
CEE MARKETS SNAPSHOT AT 1041 CET | |||||
CURRENCIES | Latest trade | Previous close | Daily change | Change in 2025 | |
Czech crown | EURCZK= | 24.6550 | 24.6350 | -0.08% | +2.25% |
Hungary forint | EURHUF= | 399.5000 | 398.7500 | -0.19% | +2.98% |
Polish zloty | EURPLN= | 4.2550 | 4.2540 | -0.02% | +0.51% |
Romanian leu | EURRON= | 5.0799 | 5.0803 | +0.01% | -2.04% |
Serbian dinar | EURRSD= | 117.0500 | 117.1500 | +0.09% | -0.09% |
Note: daily change calculated from 1800 CET | |||||
| |||||
STOCKS | Latest | Previous close | Daily change | Change in 2025 | |
Prague | .PX | 2182.62 | 2182.6200 | +0.00% | +24.00% |
Budapest | .BUX | 100097.10 | 99997.81 | +0.10% | +26.18% |
Warsaw | .WIG20 | 2852.40 | 2850.58 | +0.06% | +30.13% |
Bucharest | .BETI | 18890.47 | 18890.47 | +0.00% | +12.98% |
| |||||
BONDS | Yield (bid) | Yield change | Spread vs Bund | Daily change in spread | |
Czech Rep 2-year | CZ2YT=RR | 3.4930 | 0.0260 | +160bps | +2bps |
Czech Rep 5-year | CZ5YT=RR | 3.8240 | 0.0070 | +159bps | -1bps |
Czech Rep 10-year | CZ10YT=RR | 4.2400 | 0.0030 | +156bps | -2bps |
Poland 2-year | PL2YT=RR | 4.3610 | 0.0070 | +247bps | +0bps |
Poland 5-year | PL5YT=RR | 4.8490 | -0.0400 | +262bps | -5bps |
Poland 10-year | PL10YT=RR | 5.3400 | -0.0140 | +266bps | -3bps |
| |||||
FORWARD RATE AGREEMENTS | 3x6 | 6x9 | 9x12 | 3M interbank | |
Czech Rep | CZKFRA, PRIBOR= | 3.48 | 3.44 | 3.41 | 3.49 |
Poland | PLNFRA, WIBOR= | 4.58 | 4.21 | 3.86 | 5.03 |
Note: FRA quotes are for ask prices |
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