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CEE MARKETS-CEE FX trades rangebound, Czech crown recovers marginally

BUCHAREST, Aug 13 (Reuters) - Central European currencies were mixed on Tuesday, trading in narrow ranges in the summer lull, with the Czech crown recovering slightly after nearing a six-month low the previous session. The crown, which shrugged off a surprise acceleration of price growth at home, fell for a fourth straight session on Monday, nearing the level of 25.875 which would be its weakest since Feb. 12. By 0910 GMT, the Czech currency traded a tad firmer on the day at 25.830 to the euro, but softer than the 25.40 average forecast by the Czech National Bank for the current quarter. Poland's zloty and Hungary's forint were trading flat. The Polish zloty and the Romanian leu edged down about 0.1%. The Hungarian forint was flat at 324.12 to the euro. "Only a large deviation fromexpected U.S. inflation reading can cause volatility, as lower than expected data can fuel expectations for a deeper monetary easing by the Fed. If the (US) inflation will be higher than expected, the reaction will be rather small, because it will not change expectations for the prospects for monetary policy in the USA," said Millennium Bank analysts. The Federal Reserve Bank of New York's survey of consumer expectations showed that people's average outlooks for US inflation declined over both one- and three-year time horizons. Uncertainty about inflation also fell. Stock exchange indexes in Prague, Budapest and Warsaw were down around 0.5%, while Bucharest was 0.2% up on the day.

CEE SNAPSHO AT 1123MARKETS T CET

CURRENC IES

Latest Previous Daily Changebid close change in 2019Czech <EURCZK= 25.8350 25.8420 +0.03% -0.50%crown >Hungary <EURHUF= 324.060 324.1900 +0.04% -0.92%forint > 0Polish <EURPLN= 4.3340 4.3280 -0.14% -1.02%zloty >Romanian <EURRON= 4.7260 4.7235 -0.05% -1.52%leu >Croatian <EURHRK= 7.3930 7.3893 -0.05% +0.23%kuna >Serbian <EURRSD= 117.650 117.6400 -0.01% +0.55%dinar > 0Note: calculated from 1800 CET

daily change

Latest Previous Daily Changeclose change in 2019Prague 1025.42 1030.6700 -0.51% +3.94%Budapest 40593.1 40891.99 -0.73% +3.72%

2

Warsaw 2097.55 2109.73 -0.58% -7.87%Bucharest 9126.19 9100.65 +0.28% +23.60%Ljubljana <.SBITOP 858.03 859.70 -0.19% +6.69%>Zagreb 1893.10 1894.12 -0.05% +8.25%Belgrade <.BELEX1 744.86 743.43 +0.19% -2.21%

5>

Sofia 581.83 581.90 -0.01% -2.12%

BONDS

Yield Yield Spread Daily(bid) change vs Bund change inCzech spread

Republic

2-year <CZ2YT=R 1.1020 0.1390 +197bps +16bps

R>

5-year <CZ5YT=R 0.6910 -0.0170 +156bps -1bps

R>

10-year <CZ10YT= 0.9610 -0.0100 +157bps +0bps

RR> Poland

2-year <PL2YT=R 1.5290 -0.0320 +240bps -2bps

R>

5-year <PL5YT=R 1.7340 -0.0130 +260bps -1bps

R>

10-year <PL10YT= 1.8890 -0.0240 +250bps -1bps

RR>

FORWARD RATE AGREEMENT3x6 6x9 9x12 3M

interbank

Czech Rep 2.00 1.81 1.62 2.14

<PRIBOR=

>

Hungary 0.29 0.30 0.31 0.26Poland 1.70 1.66 1.59 1.72

Note: FRA are for ask

quotes prices**************************************************************

(Reporting by Radu Marinas and Alicja Ptak; Editing by Alexandra Hudson)