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CEE MARKETS-Currencies edge lower as markets eye Ukraine-Russia war and Fed messages
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CEE MARKETS-Currencies edge lower as markets eye Ukraine-Russia war and Fed messages
Aug 20, 2025 4:22 AM

BUDAPEST, Aug 20 (Reuters) - The Polish zloty and the

Czech crown eased on Wednesday as the dollar firmed and markets

focussed on news about the Ukraine-Russia war and turned their

attention towards the U.S. Federal Reserve's Jackson Hole

symposium this week.

The U.S. dollar gained for a third straight session on

Wednesday against the euro and sterling as traders awaited the

Fed's symposium for clues on the monetary policy path.

Friday's speech by Fed Chair Jerome Powell is the market's

main focus, as traders watch for any pushback against market

pricing of a rate reduction next month.

PKO Bank said in a note that European investors will also

monitor efforts to end the war in Ukraine, particularly signs

from Moscow that a meeting between Vladimir Putin and Volodymyr

Zelenskiy will take place.

"Such signals could support further appreciation of the

zloty and lead to a breakout of the support level of 4.24

EUR/PLN, which would pave the way for a move towards the

4.23-4.22 zone," it said.

The Polish zloty slid 0.16% to trade at 4.2515 per

euro, while the Czech crown edged down 0.11% to 24.481

against the euro and the Romanian leu was stable.

On Tuesday, U.S. President Donald Trump said that he had

ruled out putting U.S. troops on the ground in Ukraine, but said

the United States might provide air support as part of a deal to

end Russia's war in the country.

Trump's comments follow his offer of security guarantees to

help end the war made at an extraordinary White House summit on

Monday.

Stock markets in the region were mixed, with Prague's

equities edging down 0.03% and Warsaw's blue chip index

losing 0.19%. Bucharest's stocks were 0.7% up.

Markets in Budapest were closed for a national holiday.

CEE MARKETS SNAPSHOT AT

1051 CET

CURRENC Latest Previou Daily Change

IES trade s close chang in 2025

e

Czech 0 %

Hungary 00 0 %

Polish %

Romania 1%

Serbian 00 0 6%

Note: daily change

calculated from 1800 CET

STOCKS Latest Previou Daily Change

s close chang in 2025

e

Prague 2316.9 2317.51 -0.03 +31.63

1 00 % %

Budapes 106542 106542. +0.0 +34.31

t .74 74 0% %

Warsaw 3 % %

Buchare 20760. 20617.1 +0.7 +24.16

st 57 7 0% %

BONDS Yield Yield Sprea Daily

(bid) change d vs change

Bund in

spread

Czech bps

2-year

Czech bps

5-year

Czech bps

10-year

Poland bps

Poland bps

Poland bps

FORWARD 3x6 6x9 9x12 3M

RATE interba

AGREEME nk

NTS

Czech Poland Note: FRA quotes are for ask

prices

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