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CEE MARKETS-Hungarian forint hits 18-year low against dollar as currencies suffer

suffer@

* FX lose ground against main reference euro currency

* Currencies at multi-year lows against dollar

* Stocks lose, Warsaw snaps winning streak sparked by low

* Czech O2 shares gain as buyback news boosts support

PRAGUE, Sept 3 (Reuters) - Central European currencies touched new lows against the dollar and edged lower against the euro on Tuesday, while stock markets also fell as Brexit cast a shadow over economic bright spots. Economies in the region have outpaced the euro zone and manufacturing surveys showing slight improvements on Monday had boosted markets. But the export-reliant region is expected to slow in the coming quarters over uncertainties ranging from global trade tensions to a potential disorderly British exit from the European Union. The latter could hurt the region by damaging trade both directly with Britain and, more importantly, indirectly as suppliers to bigger economies like Germany that count on the British market for exports. On Tuesday, British lawmakers prepared to vote on the first stage of a plan to block Prime Minister Boris Johnson from pursuing a no-deal Brexit, fuelling market jitters. A sharply falling euro - the region's main reference currency - against the dollar translated into further losses for Central European currencies against the U.S. currency, with the Hungarian forint hitting an 18-year low of 302.99 to the dollar. The Czech crown and Polish zloty were also at more than two-year lows against the dollar. Versus the euro, the zloty fell 0.1% to 4.365 to lead losses, while the forint and the crown ticked lower after slight gains on Monday. "The crown is still under pressure because of uncertainty connected to Brexit," Czech bank CSOB said. It added industry and retail data this week could help buoy the currency. Czech wage data on Tuesday showed still strong growth, rising a real 4.3% and nominal 7.2%, above forecasts. Analysts said this was another reason the central bank - which halted a tightening cycle in May just as global central banks shifted to an easing bias - would remain in wait-and-see mode with rates. Investors are also focused on the European Central Bank's meeting next week, expecting policymakers to loosen monetary policy. "Until then, trading volatility may be limited," Poland's Bank Millennium said. In stock markets, Warsaw's blue-chip index lost 1.9%, snapping a three-day win streak that started after it touched a 2-1/2 year low last week. Telecom group O2 Czech Republic rose up to 1%, gaining for a second straight session after news the company was again in the market last week as part of a buyback programme, making its first purchases since the end of 2017. Its shares have traded since June at their lowest since 2016.

CEE SNAPSHO ATMARKETS T 1059

CET CURRENC IES

Latest Previou Daily Change

s

bid close change in 2019EURCZK Czech <EURCZK 25.9000 25.8910 -0.03% -0.75%= crown =>EURHUF Hungary <EURHUF 331.100 331.050 -0.02% -3.02%= forint => 0 0EURPLN Polish <EURPLN 4.3654 4.3609 -0.10% -1.74%= zloty =>EURRON Romanian <EURRON 4.7248 4.7243 -0.01% -1.50%= leu =>EURHRK Croatian <EURHRK 7.4050 7.4030 -0.03% +0.07%= kuna =>EURRSD Serbian <EURRSD 117.450 117.510 +0.05% +0.72%= dinar => 0 0Note: calculated from 1800daily CET

change

Latest Previou Daily Change

s

close change in 2019.PX Prague 1031.50 1036.45 -0.48% +4.56%

00

.BUX Budapest 39181.1 39707.4 -1.33% +0.11%0 3.WIG20 Warsaw <.WIG20 2103.82 2144.48 -1.90% -7.59%>.BETI Buchares 9248.59 9259.73 -0.12% +25.26t %.SBITO Ljubljan <.SBITO 852.68 850.37 +0.27% +6.02%P a P>.CRBEX Zagreb <.CRBEX 1865.11 1865.99 -0.05% +6.65%>.BELEX Belgrade <.BELEX 742.80 746.36 -0.48% -2.48%15 15>.SOFIX Sofia <.SOFIX 568.97 569.92 -0.17% -4.29%>

BONDS

Yield Yield Spread Daily(bid) change vs Bund change

in

Czech spread

Republic

CZ2YT= 2-year <CZ2YT= 1.1430 0.0300 +207bp +4bpsRR RR> sCZ5YT= 5-year <CZ5YT= 0.8540 0.0060 +182bp +2bpsRR RR> sCZ10YT <CZ10YT 1.0390 -0.0210 +177bp +1bps=RR 10-year =RR> s

Poland

PL2YT= 2-year <PL2YT= 1.5410 -0.0210 +247bp -1bpsRR RR sPL5YT= 5-year <PL5YT= 1.6440 -0.0620 +261bp -5bpsRR RR> sPL10YT <PL10YT 1.8100 -0.0440 +255bp -1bps=RR 10-year =RR> sFORWARD RATE AGREEME

NT

3x6 6x9 9x12 3M

interba nk

Czech <CZKFRA 2.08 1.91 1.75 2.14Rep ><PRIBO

R=>

Hungary <HUFFRA 0.31 0.31 0.32 0.00><BUBOR

=>

Poland <PLNFRA 1.74 1.69 1.62 1.72><WIBOR

=>

Note: are for askFRA prices

quotes

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(Reporting by Jason Hovet in Prague, Krisztina Than in Budapest and Alan Charlish and Agnieszka Barteczko in Warsaw; Editing by Alexander Smith)