Czech c.banker: Tough to justify CZK strength

20.12.2006 | , Reuters
Zpravodajství ČTK


perex-img Zdroj: Finance.cz

An analysis of Czech balance of payments flows speaks against a further firming of the crown currency, central bank (CNB) Vice-governor Ludek...

...Niedermayer said on Wednesday.

"Expectations (in the market) are apparently set for a further firming (of the crown) but it is difficult to find economic mechanics explaining why the crown should continue firming," Niedermayer told a news conference.

He added the bank's implied interest rate trajectory would be "markedly different" if a quarterly inflation outlook was drafted now, compared with the bank's standing forecast from October, given anti-inflationary factors.

[PRAGUE/Reuters/Finance.cz]

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