Slovak crown falls to 1-wk low vs euro, seen weak

...country's 
euro entry plan. 
    At 1520 GMT, the crown was at 34.085 per euro , 
compared with 34.140, its softest level since Sept. 25, seen 
earlier in the session. It closed at 33.875 on Monday. 
    "The market is a bit nervous. Stop loss orders seem to be 
behind the weakening with other emerging markets slipping as 
well," said Tatra Banka dealer Boris Somorovsky. 
    Emerging currencies eased on Tuesday after the battered 
dollar rebounded from Monday's record lows versus the euro as 
investors took a break after a sharp sell-off from past weeks. 
    The mood change added to worries that Slovakia's euro zone 
entry might be delayed due to a demand by the EU's statistical 
service, the Eurostat, to recalculate the country's fiscal 
deficits. 
    The news has been keeping the currency under pressure over 
the past two weeks, dragging it 0.9 percent weaker against the 
euro, despite reassuring remarks from government officials that 
Slovakia's plan to adopt the euro in 2009 was not at risk. 
    The Eurostat said on Monday it would not comment on any 
fiscal issues before Oct. 22. 
    Dealers said the crown was probably going to weaken further 
in the short run if the pressure mounts, betting it could go 
towards 34.200 per euro this week. 
    "It is hard to predict how large will be demand for crowns 
at higher (weaker) levels," said VUB Bank trader Laco Benedek. 
"There was a resistance level at 34.150 but with the current 
pace (of weakening) the crown might pass this as well." 
-----------------MARKET SNAPSHOT 1520 GMT --------------------- 
crown/euro    34.085 vs 33.875 on Monday (-0.62 pct) 
crown/dollar     24.052 vs 23.744 (-1.3 pct) 
5-yr govt bond due March 2012  at 4.65 pct bid vs 4.62 
10-yr govt bond due April 2017  at 4.71 pct vs 4.65 
--------------------------------------------------------------- 
 

[BRATISLAVA/Reuters/Finance.cz]