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CEE MARKETS-Stock markets buoyed by Macron's win, sentiment positive across region

region@ BUDAPEST, June 19 (Reuters) - Central European stock markets rose on Monday following a convincing parliamentary majority for President Emmanuel Macron in France which helped boost investor sentiment across Europe. Czech stocks gained around 1 percent putting the PX index just above the psychological level of 1,000 points. Komercni Banka shares led the rise, gaining 1.9 percent, and rebounding after hitting their lowest since February last week after the central bank put higher capital requirements on banks. Hungarian stocks also jumped 1 percent, with OTP shares gaining 1.3 percent by 0838 GMT and oil and gas group MOL shares also rising as much as 1.6 percent. "These gains in stocks are partly due to Macron's win ...sentiment is positive as Asian stock markets also look good," Zoltan Varga, an analyst at brokerage Equilor said. He said shares of drug firm Richter also had room to rise further towards 7,600 forints per share from 7,241 forints on Monday, after it rose to historic highs last week. Central European bourses have soared to new highs this year helped by a strong performance of the region's economies, and good prospects for this year and next. Riding the positive sentiment, Hungarian road transport firm Waberer's International launched an initial public offering (IPO) in Budapest on Monday, in which it plans to raise about 45 million euros in capital to help finance its purchase of Polish peer Link. Polish stocks also gained 1.1 percent in early trade. Meanwhile, currencies across the region were little changed. The Serbian dinar, which hit 17-month highs against the euro last week, gained a further 0.15 percent on Monday. The dinar is mainly helped by fiscal reforms and to some extent also the nomination of a new prime minister Ana Brnabic, who is seen as business-friendly. A dealer with a Belgrade-based bank said the dinar "was bolstered by seasonal demand, lending in dinars, more euros from Serbs working abroad and because overall good state fiscal performance." The fundamental support to the dinar is the fiscal reforms which secured a budget surplus worth 1.2 percent of GDP in the first quarter of 2017 instead of a deficit agreed with the International Monetary Fund.

CEE MARKETS SNAPSH AT 1019 CET

OT CURRENCIES

Latest Previo Daily Change

us

bid close change in

2017

Czech crown 26.225 26.192 -0.12% 2.98% 0 5 Hungary 307.80 307.77 -0.01% 0.33% forint 00 50 Polish zloty 4.2145 4.2092 -0.13% 4.49% Romanian leu 4.5825 4.5836 +0.02 -1.04%

%

Croatian 7.3970 7.3977 +0.01 2.14% kuna % Serbian 121.82 122.00 +0.15 1.26% dinar 00 00 % Note: daily calculated previo close 1800 change from us at CET

STOCKS

Latest Previo Daily Change

us

close change in

2017

Prague 1000.2 990.77 +0.95 +8.53 2 % % Budapest 35870. 35512. +1.01 +12.0 68 47 % 9% Warsaw 2327.1 2304.5 +0.98 +19.4 1 0 % 7% Bucharest 8469.6 8467.6 +0.02 +19.5 3 7 % 4% Ljubljana 782.74 784.23 -0.19% +9.08

%

Zagreb 1855.9 1857.8 -0.11% -6.96% 1 7 Belgrade 707.18 710.41 -0.45% -1.42% Sofia 685.68 685.12 +0.08 +16.9 % 2%

BONDS

Yield Yield Spread Daily (bid) change vs change Bund in Czech spread

Republic

2-year 0.024 0.063 +068b +4bps

ps

5-year -0.02 0.018 +038b +1bps

ps

10-year 0.946 0.051 +066b +5bps

ps Poland

2-year 1.934 -0.007 +259b -3bps

ps

5-year 2.573 -0.045 +297b -5bps

ps

10-year 3.157 -0.013 +287b -2bps

ps

FORWARD RATE AGREEMENT 3x6 6x9 9x12 3M

interb ank

Czech Rep <PR 0.34 0.42 0.51 0

IBOR=>

Hungary <BU 0.19 0.22 0.28 0.15

BOR=>

Poland <WI 1.75 1.765 1.792 1.73

BOR=

Note: FRA are for ask quotes prices ******************************************************** *****

(Additional reporting by Jason Hovet in Prague and Aleksandar Vasovic in Belgrade; Editing by)