Czech Koruna Up As Czech Central Bank Holds Key Interest Rate At 1.25%
06 November 2009 - 1:31AM
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Extending its 4-day winning streak, the Czech koruna climbed to
a 10-day high against the US dollar on Thursday morning following
the Czech National Bank decided to retain its key interest rate
unchanged at a record low for the second straight rate-setting
session in November.
The Board decided to hold the two-week repo rate at 1.25%, in
line with economists' expectations. Also, the discount rate was
retained at 0.25% and the Lombard rate at 2.25%. Earlier on August
7, the central bank had lowered its two-week repo rate by 25 basis
points from 1.50%.
The Czech koruna that ended Wednesday's trading higher at 17.541
against the greenback advanced 1.2 percent to 17.332 around 8:45 am
ET. The domestic unit has gained more than 4.3 percent against the
greenback thus far this week. The dollar-koruna pair is presently
quoted at 17.42.
Against the euro, the Czech koruna rose to a 15-day high of
25.785 around 7:45 am ET and this may be compared to yesterday's
close of 26.0435. A move above the 25.66 resistance may push the
koruna to its highest level in nearly a month. The euro-koruna pair
is presently quoted at 25.93.
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