INSTANT VIEW 1-Czech Nov PPI surges to 2-1/2-year high

...high of 5.4 
percent from October's 4.4 percent. 
    Separately, the statistical bureau said agriculture producer 
prices jumped 3.3 percent in November from October for a 26.9 
percent year-on-year increase, up from October's 24.4 percent. 
    The data were likely to boost expectations that the central 
bank could consider raising interest rates next week, hot on the 
heels of a 25 basis point rise to 3.5 percent in November. 
**************************************************************** 
KEY POINTS: 
(change in percent)       Nov         Oct       Nov forecast 
 month/month              0.7        0.4        0.4 
 year/year                5.4        4.4        5.0 
 
 (For full table of data...........................[nPRA001667]) 
 
- The monthly gain in the producer price index (PPI) led by a 
3.0 percent increase in the price of food products and a 7.8 
percent rise in oil prices. 
 
BACKGROUND: 
- Industrial PPI and agriculture producer prices are watched 
closely by the markets as leading indicators for consumer 
inflation which is targeted by the Czech central bank (CNB). 
 
- November consumer inflation                    [ID:nL10470437] 
                                  [ID:nL10617049] [ID:nL1062697] 
- October industrial output figures              [ID:nL11393445] 
- Report on last Czech c.bank rate decision      [ID:nL29206268] 
                                  [ID:nPRA001631] [ID:n29679528] 
  
LINKS: 
- For further details on November producer prices and past data, 
Reuters 3000 Xtra users can click on the statistical bureau's 
Website: 
    http://www.czso.cz/eng/csu.nsf/kalendar/2004-ipc 
 
- For LIVE Czech economic data releases, click on        
- Instant Views on other Czech data                 [CZ/INSTANT] 
- Overview of Czech macroeconomic indicators            [CZ/ECI] 
 
- Key data releases in central Europe    [CEE-CONVERGENCE-WATCH] 
- For Czech money markets data click on                 
- Czech money guide                                       
- Czech benchmark state bond prices                    
- Czech forward money market rates                       
 
 (Writing by Marek Petrus) 
  
  Keywords: CZECH PRICES/  
    

[PRAGUE/Reuters/Finance.cz]