Central European Daily

Although Central European currencies barely moved on Friday it finished the week stronger. Recall the forint for instance – despite the fact it weakened by around 0.3% on Friday, it strengthened against the euro by more than 1.2% last week. A similar pattern developed regional bond markets: while Polish and Hungarian bonds which were under mild pressure on Friday, they bond yields still managed to fall by 20 bps and 13 bps respectively last week. Let us add that Czech bond yields fell by 10 bps as the market enjoyed Thursday’s dovish ECB comments.