By Karol Badohal

WARSAW, Nov 22 (Reuters) - Central Eastern European

currencies held steady at weaker levels on Friday, and headed

for their worst week in November, as geopolitical tensions hit

investor sentiment and the firming dollar added pressure.

Most emerging market stocks and currencies, generally

considered as risky, were set for a flat-to-lower week on the

back of escalating conflict between Russia and Ukraine.

Adding to this, soft euro zone business activity data led

markets to up bets on rate cuts from the European Central Bank

(ECB), driving the euro to a two-year low against the dollar,

seen by investors as a safe-haven currency. Weaker demand in

core European markets is a drag for emerging Europe's exports.

At 1027 GMT, the Polish zloty was flat against the euro at

4.3445.

"The escalation of the conflict in Ukraine makes investors

cautious about the PLN," ING BSK analysts said in a note.

They added that recent disappointing Polish economic data,

including a slump in construction, was also drag.

"Next week will bring a series of domestic macro data

releases. If they indicate a further slowdown in economic

conditions, EUR/PLN may head towards 4.38-40."

The zloty hit a nearly five-month low of 4.3835 in early

November following Donald Trump's U.S. presidential election

victory.

In Hungary, the forint, the region's worst

performing currency this year with a 7% fall, hovered around

411.40 per euro, near a 23-month low of 412.50 hit after Trump's

re-election.

Elsewhere, the Czech crown trod water at 25.3910,

after touching its lowest level since the U.S. election in early

trade.

CEE SNAPSHOT AT

MARKETS 1127 CET

CURRENCI

ES

Latest Previous Daily Change

trade close change in 2024

Czech 25.3910 25.3885 -0.01% -2.72%

crown

Hungary 411.4000 411.2950 -0.03% -6.86%

forint

Polish 4.3445 4.3445 +0.00% +0.00%

zloty

Romanian 4.9758 4.9760 +0.00% -0.03%

leu

Serbian 116.8800 116.9800 +0.09% +0.31%

dinar

Note: calculated from 1800 CET

daily

change

Latest Previous Daily Change

close change in 2024

Prague 1684.98 1691.090 -0.36% +19.16%

0

Budapest 79215.37 79229.24 -0.02% +30.68%

Warsaw 2157.57 2178.03 -0.94% -7.91%

Bucharest 17207.01 17302.90 -0.55% +11.94%

Spread Daily

vs Bund change

in

Czech spread

Republic

2-year 5-year 10-year Poland

2-year 5-year 10-year FORWARD

3x6 6x9 9x12 3M

interban

k

Czech Rep Hungary Poland Note: FRA are for ask prices

quotes

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