By Marton Dunai
BUDAPEST, Jan 5 Hungarian stocks hit another
all-time high on Thursday, the fourth record in as many
sessions, on the back of a strong showing by drug maker Richter,
which said it planned to boost its global standing after a
strong year last year.
Richter gained 1.7 percent, outperforming peers,
after CEO Erik Bogsch said the company planned to be "much more
aggressive" in female health care product acquisitions and
strengthen its footing in Latin America and China.
Oil group MOL, which led gains on Wednesday,
corrected a little, while the country's top bank OTP
extended gains slightly after reaching a fresh nine-year high
earlier this week.
Hungarian stocks were up 0.2 percent at 0935 GMT, with
Warsaw down a third of a percent and Prague flat.
Currencies were weaker or little changed with regional units
tracking the EUR/USD cross, a dealer said in Budapest. Hungary's
forint fell slightly against the euro, following the dollar's
gains most closely, he said.
"All eyes are on the U.S., where interest rates are back to
positive territory and moves are plausible both from the Fed and
obviously with the incoming new President," the dealer said.
"Europe, and euro exchange rates, are less interesting."
In the Czech Republic, where the central bank has kept the
crown from strengthening past 27 against the euro, a senior
policy maker said it did not have to strengthen sharply after
the intervention ends.
Bank Vice-Governor Vladimir Tomsik said in an article
published by Hospodarske Noviny the bank needs to lock in its
2-percent inflation target before abandoning the regime.
Romania's leu might benefit in the longer run from a calmer
political period after a Social Democrat-led coalition
government won a vote of confidence in parliament on Wednesday,
returning to power after a one-year break.
While there are concerns over sharp fiscal slippage and the
rule of law, these have yet to materialise. Markets' attention
will be focused on the 2017 budget plan, likely to be approved
later this month.
"With a new government sworn in late yesterday, a calmer
domestic political backdrop and favourable regional trends, the
Romanian currency could continue to strengthen in the following
period," ING said in a note to clients.
CEE MARKETS SNAPSHOT AT 1035 CET
Latest Previous Daily Change
bid close change in
Czech crown 27.0200 27.0245 +0.02 -0.05%
Hungary 308.8500 307.8750 -0.32% -0.01%
Polish zloty 4.3775 4.3705 -0.16% 0.60%
Romanian leu 4.5080 4.5082 +0.00 0.60%
Croatian 7.5780 7.5745 -0.05% -0.30%
Serbian 123.5700 123.6200 +0.04 -0.18%
Note: daily calculated previous close at 1800
change from CET
Latest Previous Daily Change
close change in
Prague 934.44 934.21 +0.02 +1.39
Budapest 32706.03 32649.04 +0.17 +2.20
Warsaw 1993.31 1999.93 -0.33% +2.33
Bucharest 7223.75 7215.49 +0.11 +1.96
Ljubljana 716.74 715.33 +0.20 -0.12%
Zagreb 2021.47 2022.98 -0.07% +1.33
Belgrade 717.85 716.56 +0.18 +0.07
Sofia 589.50 588.99 +0.09 +0.52
Yield Yield Spread Daily
(bid) change vs change
2-year -0.925 0.03 -016bp +2bps
5-year -0.201 0.005 +031b +0bps
10-year 0.485 -0.016 +020b -2bps
2-year 2.123 -0.003 +289b -1bps
5-year 2.988 -0.018 +350b -3bps
10-year 3.704 -0.005 +342b -1bps
FORWARD RATE AGREEMENT
3x6 6x9 9x12 3M
Czech Rep <PR 0.2 0.15 0.13 0
Hungary <BU 0.37 0.42 0.49 0.35
Poland <WI 1.775 1.8325 1.9 1.73
Note: FRA are for ask
(Reporting by Reuters bureaux)