INSTANT VIEW 2-Czech Q2 GDP up 6.0 pct, in line with fcast

...matching market expectations. 
    The Czech expansion lagged the boom in neighbouring 
Slovakia, which posted 9.4 percent growth in April-June, and the 
6.7 percent growth in northern neighbour Poland. 
    The Czech economy outpaced Hungary, which reported a 1.2 
percent growth. 
**************************************************************** 
KEY POINTS: 
(pct change)        Q2/07     Q1/07       Fcast Q2 
 year/year           6.0    6.4 (6.1)      6.0 
 NOTE. GDP up 1.4 percent quarter-on-quarter when adjusted for 
seasonal factors and the difference in working days. 
 
 CENTRAL BANK FORECAST: 6.0-6.4 percent GDP growth envisaged by 
its most recent projection unveiled in July. 
 
 (For full table of Q2 GDP data...................[nPRA001484]) 
 
- Growth is driven by a 6.5 percent rise household consumption. 
- Consumers take advantage of a rise in disposable incomes to 
spend on cars, food, household equipment and holidays, 
statistics office says. 
- Gross fixed capital formation -- or investments -- rises 4.2 
percent. 
- Manufacturing, trade and corporate services are the leading 
sectors in GDP creation. 
  
ANALYST COMMENTS 
    DAVID MAREK, CHIEF ECONOMIST, PATRIA FINANCE, PRAGUE 
    "The revision of the first quarter is slightly positive. I 
think this (second quarter) number should not significantly 
affect thoughts about monetary policy development. Another 
interest rate rise is on the way this year or at the beginning 
of the next year." 
MARKET REACTION: 
    The Czech crown little changed to the euro  after 
the data, trading at 27.590 at 0715 GMT. 
  
BACKGROUND: 
- For story on analysts' expectations before the data release, 
double click on                                [ID:nL29913786] 
- Slovak Q2 GDP                                [ID:nL04124686] 
- Poland's Q2 GDP                              [ID:nL31266032] 
- Hungary's Q1 GDP                             [ID:nBUD00xxxx] 
 
LINKS: 
- For further details on second quarter GDP and past data, 
Reuters 3000 Xtra users can click on the Czech Statistical 
Bureau's website: 
    http://www.czso.cz/eng/csu.nsf/kalendar/2004-hdp 
 
- For LIVE Czech economic data releases, click on        
- Instant Views on other Czech data                 [CZ/INSTANT] 
- Overview of Czech macroeconomic indicators            [CZ/ECI] 
 
- Key data releases in central Europe    [CEE-CONVERGENCE-WATCH] 
- For Czech money markets data click on                 
- Czech money guide                                       
- Czech benchmark state bond prices                    
- Czech forward money market rates