* Polish retail sales top expectations, unemployment in line
* Crown retreats from 11-week high after govt clears hurdle
BUDAPEST, April 27 (Reuters) - Poland's zloty firmed after
stronger-than-expected retail sales data on Wednesday, hovering
around two-month highs, while the Czech crown retreated from an
11-week-high after the government survived a no-confidence vote.
Polish retail sales <PLPMIY=ECI> rose 9.4 percent on an
annual basis in March compared to a 12.2 percent increase the
previous month, well above expectations for a 7.2 percent rise
in a Reuters poll. []
On a monthly basis, sales grew 18.8 percent. Unemployment in
central Europe's largest economy meanwhile edged down to 13.1
percent in March from 13.2 percent in the previous month, in
line with market expectations. []
At 0806 GMT, the zloty <EURPLN=> traded at 3.9370 versus the
euro, hovering around two-month highs it scaled on Tuesday on
the finance ministry's plans to sell some of its funds from the
European Union on the spot market to support monetary policy and
keep a lid on inflation. []
The crown <EURCZK=> was a shade weaker on the day after
touching an 11-week high in early trade, boosted by rising
appetite in emerging markets as the dollar stayed weak.
Benefiting sentiment, the centre-right government, as
expected, survived a no-confidence vote late on Tuesday, the
first in a series of hurdles that will test the administration
in the coming months as it pushes through reforms, dealers said.
[]
The newest rate-setter on the Czech central bank's board,
Lubomir Lizal, said interest rates would have to rise from the
current record low but it was not clear when. []
Dealers said the currency was mainly tracking the region.
"It's the dollar story and growing risk sentiment on
emerging markets still," said Roman Fol, dealer at
Raiffeisenbank in Prague.
"On EUR/CZK, the market is not so deep, there is not big
liquidity. There is still positive sentiment... (due to) the
weaker dollar."
"Poland is helping the whole region," he added, due to the
EU funds conversion story.
Romania's leu <EURRON=> traded flat, still testing
resistance at around year-highs of 4.07 per euro, though dealers
said it could slip later in the session as it is no longer
supported by workers abroad sending home money before Easter.
An International Monetary Fund team started a review of
Romania's new two-year aid deal on Wednesday, which will
continue through May 9. []
--------------------------MARKET SNAPSHOT--------------------
Currency Latest Previous Local Local
close currency currency
change change
today in 2011
Czech crown <EURCZK=> 24.078 24.049 -0.12% +3.83%
Polish zloty <EURPLN=> 3.936 3.941 +0.13% +0.56%
Hungarian forint <EURHUF=> 264.3 264.25 -0.02% +5.18%
Croatian kuna <EURHRK=> 7.352 7.353 +0.01% +0.38%
Romanian leu <EURRON=> 4.073 4.071 -0.05% +3.93%
Serbian dinar <EURRSD=> 100.61 100.62 +0.01% +5.28%
All data taken from Reuters at 1014 CET.
Currency percent change calculated from the daily domestic
close at 1600 GMT.
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(Reporting by Reuters bureaus; Writing by Gergely Szakacs;
Editing by Catherine Evans)
