Czech Republic - Factors To Watch on May 4

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C.BANK MINUTES

The central bank releases minutes from its April 26 governing board meeting and a quarterly update to its Inflation Report at 9 a.m. (0700 GMT).

Four out of six policymakers present at the April 26 meeting voted to hold interest rates steady while two dissenters called for a 25 basis point increase.

[RTRS-LEN-CZ-CEN-PLCY] - For real-time economic data releases, double click on the following code:

CME EARNINGS

Growth in its key markets boosted revenues at television broadcaster CME and narrowed the firm's first-quarter net loss, while a positive outlook pushed its shares sharply higher on Thursday.

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MILD POLICY REACTION TO REFORMS

The central bank (CNB) may need to react in only a moderate way to an overhaul of taxes and public spending proposed by the government, the CNB's chief economic forecaster said.

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DEEPER TAX CUTS

An influential Czech right-wing member of parliament called on the government on Thursday to adopt deeper tax cuts under its plans to revamp fiscal policy and cut budget deficits.

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OPPOSITION AGAINST

Opposition leftist Social Democrats (CSSD) reject the government's plans, saying the deficit problem cannot be resolved by lowering taxes. CSSD Deputy Chairman and Shadow Finance Minister Bohuslav Sobotka believes that the government reform would result in a budgetary income fallout of tens of billions of crowns, writes the daily Hospodarske Noviny. - For Factbox on the fiscal measures proposed by the ODS-led government, double click on the following code [ID:nL03553262].

POLL: INFLATION SEEN AT 7-MONTH HIGH

Czech inflation probably rose to a 7-month high and returned to the central bank's target in April, a Reuters poll showed, confirming a resurgence of price growth which could spur an interest rate rise as early as this month.

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- OVERVIEW OF ECONOMIC FORECASTS: [nL02664655]

- SUMMARY OF COMMENTS BY CNB POLICYMAKERS: [ID:nnL26200293]

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

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E-mail: prague.newsroom@reuters.com

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[PRAGUE/Reuters/Finance.cz]