Slovak crown stronger, mkt eyes c.bank repo action

    The Slovak crown firmed 
against the euro on Tuesday but dealers expected the central 
bank to cap the unit's rise through its two-week repo tender 
later in the session. 
    The crown traded at 34.665 to the euro  as of 0830 
GMT, after 34.770 late on Monday. 
    "The markets will now await the central bank's regular repo 
tender today," Slovenska Sporitelna wrote in a market note. 
    "After strengthening of the crown, under-acceptance is a 
more likely scenario, rather than full acceptance, which might 
put some pressure on the crown." 
    The central bank (NBS) rejected part of the bids in its repo 
tenders in the first four weeks of January to leave banks with 
billions of crowns in excess liquidity in order to make the 
crown less attractive for speculative capital. 
    The NBS accepted all repo auction bids last week after the 
local unit had eased due to outflow of capital from emerging 
markets. 
    However, the crown resumed firming at the start of February 
due to fading expectations of a U.S. interest rate hike. 
------------------ MARKET SNAPSHOT AT 0830 GMT ----------------- 
Crown/euro  34.665 vs 34.770 on Monday (+0.30 pct) 
Crown/dollar   26.825 vs 26.886 (+0.23 pct) 
5-yr govt bond  yield 4.302/152 vs 4.280/090 pct 
7-yr govt bond  yield 4.300/200 vs 4.250/050 pct 
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[BRATISLAVA/Reuters/Finance.cz]