Slovak crown firms to near record highs vs euro

    BRATISLAVA, Nov 13 (Reuters) - The Slovak crown firmed 0.4 
percent against the euro on Monday, nearing last week's record 
highs, and dealers expected the unit to attack the key 36.0 
level in the coming days. 
    The crown had been on a firming path since end-September, 
fuelled by bullish regional mood, hopes that Slovakia will adopt 
the euro in 2009 and expectations for a lower current account 
gap. 
    The unit hit a lifetime peak of 36.001 per euro early last 
week, before retreating toward 36.250 on profit taking. 
    "Emerging markets are strengthening, so there is no reason 
for us to weaken," said a dealer with a foreign bank in 
Bratislava. "The first target is to test the record level and 
the next one is 35.800." 
    At 1540 GMT, the crown was quoted at 36.050 per euro 
<EURSKK=>, compared with 36.185 late on Friday. 
    The regional sentiment would set the unit's direction in the 
coming days, traders said. Investors also await the release of 
third quarter gross domestic product data on Wednesday, which 
might support the currency. 
    Analysts polled by Reuters expected the Slovak economy to 
expand by 6.6 percent in the third quarter from a year ago, 
compared with a 6.7 percent rise in the second quarter of 2006. 
    The crown is now 6.7 percent above the central parity within 
the Exchange Rate Mechanism 2 (ERM 2), which Slovakia joined in 
November 2005 to prepare for euro zone entry. 
----------------MARKET SNAPSHOT AT 1540 GMT------------------- 
Crown/Euro <EURSKK=> 36.050 vs 36.185 on Friday (+0.38 pct) 
Crown/Dollar <SKK=>  28.166 vs 28.145 (-0.07 pct) 
5-yr govt bond <SK5YT=RR> yield 4.450/250 vs 4.401/199 pct 
8-yr govt bond <SK8YT=RR> yield 4.250/099 vs 4.328/4.130 
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  ((Reporting by Martin Santa, editing by Ian Jones; Reuters 
Messaging: martin.santa.reuters.com@reuters.net; +421 5341 
8402)) 
  Keywords: MARKETS SLOVAKIA CROWN CLOSE