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CEE MARKETS-Zloty rebounds, strong wage data can polarize rate setters

* Zloty firms, 7.4 pct Oct jump in wages is bigger than expected

* Wage growth pick-up could make cbank hawks louder -analysts

* CEE FX volatility subdued; Fed, ECB clues awaited

* Prague's local markets are closed due to national holiday

(Adds Polish wage figure) BUDAPEST/BUDAPEST, Nov 17 (Reuters) - The zloty firmed on Friday as Poland released data showing a bigger than expected pick-up in wage growth, which could make hawks in the Polish central bank louder. The zloty reversed an earlier easing and was up 0.1 percent against the euro by 1345 GMT while most other Central European currencies were weaker from Thursday's close. Polish corporate wages rose 7.4 percent in annual terms in October, more than analysts' 6.45 percent forecast. That was a pick-up from September's already strong 6 percent figure. Accelerating wage increases help drive economic growth and inflation in Central Europe. Inflation is getting additional fuel from a labor shortage in the region, with many of its workers moving to richer Western countries. Views within the Monetary Policy Council of the National Bank of Poland (NBP) have been split over inflation risks. That was demonstrated on Thursday by conflicting comments from two members. Jerzy Kropiwnicki played down risks and said rates should remain unchanged for at least the next 12 months. Eugeniusz Gatnar said inflation could pick up faster than expected and the bank may need a rate hike as early as in the first quarter of next year. "If growth of corporate sector wages visibly accelerates, one cannot exclude further polarization of NBP representatives' views," Pekao SA analysts in a note before the release of the October figures. The zloty's reaction remained moderate. Volatility in regional currency markets has mostly died down in recent weeks as investors wait for domestic data and clues about Federal Reserve and European Central Bank monetary policy. The crown has been slowly gaining against the euro amid expectations for further rate increases by the Czech central bank. The forint has been easing gradually as the Hungarian central bank loosens policy further. On Friday the currency firmed 0.2 percent to 311.55 versus the euro in a rebound from six-and-1/2-month lows hit on Thursday. The central bank is expected to keep its base rate on hold for years, but it may launch new unconventional tools at its Nov. 21 meeting to push long-term market interest rates lower. Expectations for a rise in rates have helped buoy listed bank shares in the region. The profits of Warsaw's top 10 listed banks rose 23 percent in annual terms in the third quarter, the Polish newspaper Rzeczpospolita said. The index of Polish listed banks rose by 0.65 percent on Friday, approaching a 2 1/2-year high. The kuna eased a shade, but was off Thursday's nine-month lows against the euro. Croatia launched a 2030-expiry euro bond on Thursday.

CEE MARKETS SNAPSH AT 1445 CET

OT CURRENCIES

Latest Previo Daily Change

us

bid close change in

2017

Czech crown 25.585 25.564 -0.08% 5.56% 0 5 Hungary 311.55 312.03 +0.15 -0.88% forint 00 00 % Polish zloty 4.2356 4.2377 +0.05 3.97%

%

Romanian leu 4.6432 4.6394 -0.08% -2.33% Croatian 7.5680 7.5645 -0.05% -0.17%

kuna

Serbian 118.45 118.42 -0.03% 4.14% dinar 00 00 Note: daily calculated previo close 1800 change from us at CET

STOCKS

Latest Previo Daily Change

us

close change in

2017

Budapest 39220. 38982. +0.61 +22.5 06 30 % 5% Warsaw 2435.7 2411.1 +1.02 +25.0 7 1 % 4% Bucharest 7753.3 7716.2 +0.48 +9.43 0 6 % % Ljubljana 792.06 790.95 +0.14 +10.3 % 8% Zagreb 1854.2 1852.7 +0.08 -7.05% 6 4 % Belgrade 735.73 733.26 +0.34 +2.56 % % Sofia 668.98 668.91 +0.01 +14.0 % 8%

BONDS

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

Poland

2-year 1.598 -0.003 +230b -2bps

ps

5-year 2.624 0.023 +297b +2bps

ps

10-year 3.412 0.02 +304b +2bps

ps

FORWARD RATE AGREEMENT 3x6 6x9 9x12 3M

interb ank

Czech Rep <PR 0.99 1.14 1.26 0

IBOR=>

Hungary <BU 0.03 0.06 0.1 0.03

BOR>

Poland <WI 1.771 1.825 1.925 1.73

BOR=>

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

(Reporting by Sandor Peto; Editing by Larry King and Peter Graff)