Czech Republic - Factors To Watch on April 19

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C.BANK GOVERNOR: INT.RATES TO HEAD HIGHER

Latest economic data have been rather pro-inflationary and the next interest rate move is increasingly likely to be a hike, Czech central bank (CNB) Governor Zdenek Tuma said, indicating a shift towards a more hawkish policy stance.

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C.BANKERS HOLD NON-POLICY MEETING

The CNB's governing board holds a regular weekly meeting. It is not scheduled to discuss monetary policy issues. They next meet to discuss interest rates on April 26 when they will unveil revised projections for inflation as well as economic growth.

NEW BOND COUPON

The Finance Ministry is expected to set the coupon for the new 10-year benchmark government bond at 2 p.m. (1200 GMT).

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C.BANK DIVERSIFIES FX RESERVES

The CNB has reduced U.S. dollar holdings from 47.2 percent of its foreign exchange reserves at the end of 2005 to 34.6 percent now, mainly in favour of the British pound and the Japanese yen.

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SKODA AUTO STRIKES WAGE DEAL

Management at Skoda Auto, a unit of Volkswagen AG , reached a wage deal with unions that will avert a renewed strike at the Czech Republic's biggest firm, Skoda human resources chief Martin Jahn said.

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ANALYSIS: FEARS OF WAGE-FUELLED INFLATION

The pay dispute at Czech car maker Skoda Auto has heightened fears of rising labour costs that may feed into inflation and lead to higher interest rates.

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BIGGER ORCO CAPITAL HIKE

Real estate developer Orco Property Group's planned new share offering may double to 200 million euros.

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3-YEAR BOND SALE

The Finance Ministry sold 5.1 billion crowns ($248.4 million) worth of 3.25 percent coupon government bond in the first, competitive round of bidding at Wednesday's auction.

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- For auction details and results, double click on .

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FEWER EMERGING EUROPE RATINGS UPGRADES

Upgrades of emerging European sovereign ratings are likely to slow down over the next two years compared with last year, Standard & Poor's said.

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OPINION POLLS SHOW RIGHT AHEAD

The Czech centre-right government leads over the leftist opposition, two opinion polls showed.

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BUSH TO VISIT PRAGUE

U.S. President George Bush will visit the Czech Republic in June, writes the daily Hospodarske Noviny. The main topic of his one-day visit will be the anti-missile shield, which the United States wants to base in the Czech Republic and Poland.

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REUTERS POLL: CROWN SEEN STEADY NEAR-TERM

The Czech crown is forecast to hover around current levels near 28 per euro in the next three months, but then resume its long-run uptrend to set record highs a year from now, a Reuters poll shows.

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- For table of forecasts, double click on [ID:nL17462429].

- For regular updates on crown moves click on [CZK/].

For overview of economic data and forecasts click on For Instant Views of key economic data click on [CZ/INSTANT] For summary of economic data and forecasts For diary of forthcoming Czech events [CZ/DIARY] For calendar of east European economic indicators [CONV/DIARY] TOP NEWS -- Emerging markets [TOP/EMRG] TOP NEWS -- Convergence watch [TOP/EAST]

For an economic indicator diary for the euro zone, the United States and other Group of Seven countries see

For real-time stock market index quotes click in brackets: Warsaw WIG20 Budapest BUX Prague PX

News editor of the day: Alan Crosby on +420 224 190 477; fax: +420 224 229 935

E-mail: prague.newsroom@reuters.com

Reuters Messaging: alan.crosby.reuters.com@reuters.net

($1=20.62 Czech Crown)