- Analytics
- News and Tools
- Market News
- EUR/CZK: CNB’s decision could be the difference between returning to 24.60 or 24.20 – SocGen
EUR/CZK: CNB’s decision could be the difference between returning to 24.60 or 24.20 – SocGen
Economists at Société Générale analyze how the Czech Central Bank decision could impact the EUR/CZK pair.
A close call between no change and a 25 bps cut
For the Czech National Bank, it could be a close call between no change and a 25 bps cut. Most economists surveyed by Bloomberg are pencilling in a first rate cut. We are in the minority camp and predict a first reduction in February 2024.
Headline CPI decelerated to 7.3% in November after topping out at 18% in September 2022. The base line forecast of the CNB is for inflation to slow below 3% in 1Q24. The dilemma is whether to wait (maintain positive real rates) or trust the forecast and cut today.
For EUR/CZK, today’s decision could be the difference between returning to 24.60 or 24.20.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
