Czech crown recovers from 15-month lows

...its weakening trend led by a negative interest rate differential with the euro zone.

The crown last traded at 28.635 at 0929 GMT, from 28.67 on Wednesday afternoon and Wednesday's low of 28.775, the weakest point since March last year.

"It rather seems as a euro sell," said one Prague trader. "(Yesterday) people jumped into carry trades, there was also a recommendation around for euro buying versus the crown... but the move was too fast to hold and now we have a correction."

Bank CSOB said in a morning note the crown was inclined towards further losses but Thursday may bring a pause, due to exporters' hedging and a morning firming of the Japanese yen.

The crown has been under pressure despite a positive mood on other central European currencies due to its status as a funding unit for carry trades, given the low official interest rates.

The central bank's policy rate stands at 2.75 percent, its highest in more than four years after a quarter percentage point rise in May, but still far below 4.0 percent in the euro zone.

The central bank board is due to review interest rates next on June 28. ----------------- MARKET SNAPSHOT AT 0931 GMT ----------------- Crown/euro last deals at 28.635 vs 28.670 Crown/dollar at 21.380 bid vs 21.353

Current levels versus prior domestic close at 1500 GMT ---------------------------------------------------------------