Czech market rates, yields gain on c.bank comment

...bank (CNB) Governor Zdenek Tuma raised the chances of a further policy tightening in the coming months.

Tuma said after Wednesday's market close that the next interest rate move was increasingly likely to be a hike, heralding a shift towards a hawkish policy stance just a week before a rate-setting meeting on April 26.

Two-year interest rate swap rates , one of the most sensitive instruments to shifts in market perceptions on monetary policy, gained 6 basis points to 3.15/3.18 percent by 0740 GMT.

Short-dated domestic government debt yields rose by similar amounts and forward-looking rates predicting where short-term money market rates could be at a future date jumped by up to 10 basis points.