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CEE MARKETS-Zloty gains limited by collapse of Germany talks ahead of data

* Zloty bucks fx easing on German coalition talks collapse

* Polish data flow helps zloty, new figures due at 1300 GMT

* Forint eases, cbank could loosen screws further on Tues

* Romania tenders bonds after several scrapped auctions

BUDAPEST/WARSAW, Nov 20 (Reuters) - The zloty's gains were limited on Monday by a collapse of coalition talks in Germany, ahead of a batch of likely strong Polish economic data. Polish corporate wages surged 7.4 percent in annual terms in October according to figures released on Friday, which could strengthen the case of hawks in the Polish central bank (NBP). Warsaw is due to release October industrial output, retail sales and producer price data at 1300 GMT which could nudge the bank towards a rate hike before the last quarter of 2018, which has been projected by most analysts in a Reuters poll. "If it was not for the collapse of German coalition talks, we would expect the zloty to gain today after the Polish industrial output data," BZ WBK analysts said in a note. "In our view, these numbers will be positive, further supporting expectations for rate hikes in Poland and bringing up yields on the shorter end of Polish end curve," they said. They added that the zloty's room to strengthen further was limited after its firming from levels beyond 4.33 against the euro since late September. The zloty, which has gained 4 percent this year, firmed a shade to 4.236 by 0847 GMT, while Hungary's forint led Central Europe's other main currencies lower. The withdrawal of small centre-right party FDP from Germany's coalition talks caused some unease among investors in the European Union's emerging economies. "Risks (in European markets) have mildly increased," Erste analysts said in note in Budapest. EU political noise is still a force to be reckoned with, said Simon Quijano-Evans, strategist of Legal & General Investment Management in a note. "CEE members of the EU have the most to lose from any increase in 'core-EU' nationalism coupled with Brexit implications for the 2021-27 EU budget," he said, referring to a fallout of Britain's contributions after it quits the EU. The forint eased 0.2 percent against the euro to 312.4. Hungary's central bank, one of the most dovish monetary authorities in the world, may launch new measures at its meeting on Tuesday to push long-term market interest rates lower. "Such a move could thereby in our view contribute to additional HUF weakening towards 315 against the euro over the coming week," Raiffeisen analyst Wolfgang Ernst said in a note. "Whereas we currently keep our year-end target of EUR/HUF 310, the chances for a slightly weaker HUF could rise with additional liquidity measures ...," he said.

CEE MARKETS SNAPSH AT 0947 CET

OT CURRENCIES

Latest Previo Daily Change

us

bid close change in

2017

Czech crown 25.593 25.594 +0.01 5.52% 0 5 % Hungary 312.40 311.84 -0.18% -1.15% forint 00 50 Polish zloty 4.2360 4.2374 +0.03 3.96%

%

Romanian leu 4.6480 4.6417 -0.14% -2.43% Croatian 7.5630 7.5675 +0.06 -0.10% kuna % Serbian 118.31 118.42 +0.09 4.26% 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 1054.6 1054.7 -0.01% +14.4 0 5 3% Budapest 39328. 39279. +0.12 +22.8 83 75 % 9% Warsaw 2436.5 2443.8 -0.30% +25.0 1 3 8% Bucharest 7769.1 7772.1 -0.04% +9.66 4 4 % Ljubljana 789.10 792.06 -0.37% +9.97

%

Zagreb 0.00 1853.0 +0.00 -100.0 8 % 0% Belgrade 732.74 735.73 -0.41% +2.14

%

Sofia 669.47 668.87 +0.09 +14.1 % 6%

BONDS

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

Republic

2-year 0.501 0.136 +122b +14bp ps s 5-year 0.97 0.027 +131b +2bps

ps

10-year 1.742 0.012 +137b +1bps

ps Poland

2-year 1.592 -0.011 +231b +0bps

ps

5-year 2.622 0.001 +296b -1bps

ps

10-year 3.424 0.018 +306b +1bps

ps

FORWARD RATE AGREEMENT 3x6 6x9 9x12 3M

interb ank

Czech Rep <PR 1.01 1.17 1.29 0

IBOR=>

Hungary <BU 0.08 0.09 0.14 0.03

BOR=>

Poland <WI 1.79 1.84 1.94 1.73

BOR=>

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

(Additional reporting by Jason Hovet in Prague; Editing by Alison Williams)