PRAGUE, April 20 (Reuters) - Central Europe"s currencies
moved sideways on Tuesday, struggling to capitalise on a drop in
the U.S. dollar as the region continued to cool after the past
month"s gains, while the Prague bourse"s hot streak also
fizzled.
Prague"s PX index retreated midday after climbing to
its highest since January 2020 in early trade, pulled down by a
correction in MONETA Money Bank shares.
Among gainers, antivirus software group Avast
led, with shares rising over 2% after solid
first-quarter earnings led it to confirm a 2021 revenue growth
outlook at the upper end of its 6-8% range.
The London-listed group also led the FTSE.
On currency markets, Hungary"s forint was steady
at 361.0 to the euro and the Polish zloty sat at
4.551, both still showing signs of a correction seen recently.
"With the dovish position of the MPC, which does not
indicate a possibility of interest rate hikes, further
appreciation of the zloty may be limited," PKO BP said in a
note.
"We assume that the EUR/PLN will remain in the 4.55-4.57
range in the near future."
Elsewhere, Romania"s leu was down less than 0.1% a
day after an auction in which the finance ministry sold more
than expected.
The Czech crown edged up 0.1% to 25.905 per euro,
steady amid a row with Russia after Prague voiced suspicions
that Russian intelligence had been involved in explosions at an
ammunition depot in 2014. Moscow said the allegations were
absurd.
The row is the biggest between Prague and Moscow since the
end of Soviet domination of eastern Europe in 1989.
Utility CEZ"s shares held near highs last seen in
2015 after the Czech government said on Monday it would not
invite Rosatom to take part in security assessments before a
planned tender for a new unit at CEZ"s Dukovany nuclear power
plant.
That effectively rules Russia out of the deal.
"Given the way the contracts with the state are set and 100%
financing by the state, the course of the tender should not have
a major impact on the company itself," J&T Banka analysts said.
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