Slovak crown weakens, may ease further on region

    BRATISLAVA, Nov 24 (Reuters) - The Slovak crown was weaker 
to the euro on Friday morning and dealers said more losses were 
possible if investors continued to reduce exposure to European 
emerging markets. 
    The crown traded at 35.740 to the euro as of 0915 GMT, after 
35.645 at Thursday's close. The crown was volatile on Thursday 
due to low liquidity caused by the U.S.Thanksgiving holiday. 
    "We should see a revival of activity today, and our 
expectation is that the crown will continue to move in the 
northern direction (weaken). The sell mood currently prevails on 
the (yield) curve as well," ING Bank said in a market comment. 
    The outflow of capital from emerging markets has erased part 
of crown gains since the unit hit an all-time high of 35.495 per 
euro on Tuesday. 
    The crown is still some 2.3 percent up on the month and is 
7.6 percent above the parity in the exchange rate mechanism 2 
(ERM 2), the precursor to euro that Slovakia joined last year as 
part of the plan to adopt the single currency in 2009. 
    The next domestic impulse may come from the central bank's 
monetary policy meeting on Tuesday. 
    Most analysts in a Reuters poll expected no change in 
interest rates in November, but some said they could not exclude 
the bank would raise the main two-week repo rate by 25 basis 
points to 5.00 percent, which would be supportive for the crown. 
----------------MARKET SNAPSHOT AT 0915 GMT------------------- 
Crown/Euro <EURSKK=> 35.730 vs 35.645 on Thursday  
Crown/Dollar <SKK=>  27.340 vs 27.513 
3-yr govt bond <SK5YT=RR> yield unchanged at 4.374/4.176 pct 
8-yr govt bond <SK8YT=RR> yield 4.299/139 vs 4.357/157 pct 
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  ((Reporting by Peter Laca, editing by Chris Pizzey;; Reuters 
Messaging: peter.laca.reuters.com@reuters.net; +40 21 315 8320)) 
  Keywords: MARKETS SLOVAKIA CROWN MORNING