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CEE MARKETS-Currencies, some stocks ease amid worries over US-China trade war

0.2 percent.

* Main currencies ease a shade as dollar firms vs the euro

* Fears of worsening U.S.-Chinese trade war dampens markets

* Stocks stay rangebound and mixed despite rebound in Asia

BUDAPEST, May 7 (Reuters) - Central Europe's main currencies and some traded stocks eased slightly on Tuesday amid jitters over a possible escalation in the trade dispute between the United States and China, the world's two largest economies. The forint, the zloty and the leu shed 0.1 percent versus the euro by 0842 GMT. "This is simply because of some strengthening of the dollar...The trade war is still around and the mood favors safe currencies like the dollar and the yen," a Budapest-based dealer said. The dollar traded on the strong side of the 1.2 line versus the euro, the currency of Central Europe's main economic partners. The United States is also mulling introducing tariffs on car imports from the European Union, which could hit the booming vehicle industry of the bloc's eastern states. Late Monday's news of a deepening rift between Hungary's ruling party Fidesz and Europe's main center-right group had no apparent impact on Hungarian markets. "That has been mostly priced in," the dealer said, adding that if Fidesz finally quit the European People's Party, in which it has already suspended its membership, that could have some negative effect on markets. April inflation figures to be released in some countries of the region, including Hungary, in the next few days may lead to bigger market movements, market participants said. "We do not see flows, like any big forint selling at the moment," the dealer said. Central European stocks were mostly rangebound despite some rebound in emerging market shares as London and Frankfurt also stayed in the red. Warsaw's bluechip index, shedding 0.2 percent, stayed near its lowest levels this year, and the index of Warsaw-listed banks was near 5-week lows, also dropping Bank officials in a survey by the Polish central bank indicated a tightening in lending policies as the economy is slowing, Santander Bank analysts said in a note. Banks listed in Prague were mixed and rangebound after a fall in the previous session because Czech Prime Minister Andrej Babis said on Sunday that banks should pay part of their dividends into a new state development fund. Demand for credit from households rose further, Santander said. A surge in wages across the region also continued to fuel strong annual growth in Czech retail sales, though the 4.3 percent figure for March released on Tuesday was slightly below forecasts. The crown was steady at 25.73 versus the euro, on the strong side of its 200-day moving average. Czech and Polish government bond yields tracked a drop in Bund yields. The 10-year Polish yields dropped 2 basis points to 2.983 percent.



Latest Previous Daily Changebid close change in 2019Czech <EURCZK= 25.7300 25.7270 -0.01% -0.09%crown >Hungary <EURHUF= 323.9300 323.7200 -0.06% -0.88%forint >Polish <EURPLN= 4.2860 4.2834 -0.06% +0.08%zloty >Romanian <EURRON= 4.7585 4.7547 -0.08% -2.20%leu >Croatian <EURHRK= 7.4100 7.4115 +0.02% +0.00%kuna >Serbian <EURRSD= 117.8400 117.9500 +0.09% +0.39%dinar >Note: calculated from 1800 CET

daily change

Latest Previous Daily Changeclose change in 2019Prague 1065.10 1064.710 +0.04% +7.96%


Budapest 41365.73 41547.35 -0.44% +5.69%Warsaw 2285.58 2290.13 -0.20% +0.39%Bucharest 8389.25 8380.61 +0.10% +13.62%Ljubljana <.SBITOP 882.27 880.66 +0.18% +9.70%>Zagreb 1831.33 1827.45 +0.21% +4.72%Belgrade <.BELEX1 741.22 742.64 -0.19% -2.69%


Sofia 567.06 571.30 -0.74% -4.61%


Yield Yield Spread Daily(bid) change vs Bund change


Czech spread


2-year <CZ2YT=R 1.6360 -0.1410 +225bps -13bps


5-year <CZ5YT=R 1.7570 -0.0700 +220bps -5bps


10-year <CZ10YT= 1.8810 0.0000 +189bps +2bps

RR> Poland

2-year <PL2YT=R 1.6900 -0.0150 +230bps -1bps


5-year <PL5YT=R 2.3360 -0.0230 +278bps -1bps


10-year <PL10YT= 3.0030 -0.0210 +301bps +0bps




3x6 6x9 9x12 3M

interban k

Czech Rep 2.24 2.26 2.26 2.20



Hungary 0.33 0.48 0.68 0.16Poland 1.75 1.76 1.79 1.72

Note: FRA are for ask prices quotes



(Reporting by Sandor Peto Editing by Mark Heinrich)