Czech Republic - Factors To Watch on July 1

                                
 PRAGUE, July 1 (Reuters) - Here are news stories, press
reports and events to watch which may affect Czech financial
markets on Thursday.
                                
 ALL TIMES GMT (Czech Republic: GMT + 2 hours)

=========================ECONOMIC DATA=========================
                                
 Purchasing Managers' Index (PMI) for June due out at 0730
GMT.
                                
 Real-time economic data releases....................<ECONCZ>
                                
 Previous stories on Czech data.............[CZ-RTRS-LEN-ECI]
                                
 Overview of economic data and forecasts..........<CZ/ECON15>
                                
 Updates on CEE currencies............................[CEE/]
                                
 
 =============================EVENTS==========================
                                
 PRAGUE - End-June budget balance data at 1200 GMT.
                                
 Related news: [RTRS-LEN-CZ-GVD]

                                
 PRAGUE - Czech central bank governing board to hold a
regular weekly meeting. It is not scheduled to discuss monetary
policy issues.
                                
 Related news: [RTRS-LEN-CZ-PLCY]
                                
 
                                
 PRAGUE - 39-week T-bill auction.
                                
 Related news: [RTRS-LEN-CZ-DBT]
                                
 
 ==========================TOP NEWS============================
                                
 BUDGET GAP SHRINKS: The Czech budget deficit shrank by more
than a third in June to just above 60 billion crowns ($2.85
billion), Finance Minister Eduard Janota said on Wednesday.
                                
Story: [ID:nPRG004243] Related news: [RTRS-LEN-CZ-DBT]
                                
 
                                
 FORINT LEADS GAINS: The forint got a late boost on Wednesday
from details of the Hungarian government's economic plans,
underpinning the gains of Central European assets after a
rollercoaster day.
                                
 Story: [ID:nLDE65T080] Related news: [RTRS-LEN-CZ-FRX]
                                
 
                                
 CEZ QUITS PAK TENDER: Only two bidders emerged for Poland's
troublesome $1 billion stake in electricity provider PAK on
Wednesday after Czech utility CEZ <CEZPsp.PR> and Polish rival
Enea <ENAE.WA> both pulled out of the tender process.
                                
 Story: [ID:nLDE65T28P] Related news: [RTRS-LEN-CZ-MRG]
                                
 
                                
 2011 DEFICIT SEEN AT 4.6/GDP: Three Czech parties who aim to
form a coalition government are close to agreeing a 2011 budget
with a deficit of no more than 4.6 percent of annual output,
Prime Minister Petr Necas said on Wednesday.
                                
 Story: [ID:nLDE65T1RH] Related news: [RTRS-LEN-CZ-PLCY]
                                
 
                                
 REUTERS MACRO POLL: Two extra working days and a revival in
foreign demand likely pushed up May industrial output
<CZIPY=ECI> by 15 percent year on year, the fastest pace since
April 2007.
                                
 Story: [ID:nLDE65T123] Related news: [RTRS-LEN-CZ-MCE]
                                
 
                                
 PARTIES AGREED GOVT POSTS: Czech parties building a
centre-right government agreed on the division of ministries on
Wednesday, clearing a major hurdle in a drive to form a cabinet
able to cut the budget deficit and revamp the public services.
                                
 Story: [ID:nLDE65T02Z] Related news: [RTRS-LEN-CZ-POL]
                                
 
 ---------------------- MARKET SNAPSHOT ------------------------
 Index/Crown Currency  Latest    Prev    Pct change   Pct change
                                
                              close   on day       in 2010
 Czech Equities <.PX>   1103,9      1103,9    -0,88       -1,2
vs Euro   <EURCZK=>    25,694    25,655    -0,15      2,37
vs Dollar    <CZK=>    21,037     20,949   -0,42       -14,47
 U.S. Equities <.DJI>  9774,02  9870,3  -0,98      -6,27
 Pvs close or current levels vs prior domestic close at 1500
GMT
=========================PRESS DIGEST==========================
                                
 REFORMS: Prime Minister Petr Necas plans to renew The
National Economic Council of the Government to streamline
preparation of key economic reforms.
                                
 Pravo, page 1
                                
 
                                
 MINISTERIAL POSTS: Many members of the leading Civic
Democrats (ODS) are upset about the distribution of seats in the
new government in which ODS failed to win key posts at the
finance ministry and the interior ministry posts. 
                                
 Lidove Noviny, page 1
                                
 
                                
 HOUSEHOLD DEBT: Household debt exceeded 1 trillion crowns
($47.55 billion) at the end of May, with 698 billion in mortgage
debt, the central bank data showed. The bank expects the share
of non-performing mortgage loans to rise to 4-5 percent at the
end of the year from 3 percent now.
                                
 Hospodarske Noviny, page 15
                                
 
                                
 Reuters has not verified the media reports, nor does it
vouch for their accuracy.
                                
 
                                
 For Instant Views of key economic data click on
                                
[CZ/INSTANT]
 For summary of economic data and forecasts          <CZ/ECON01>
 For diary of forthcoming Czech events                [CZ/DIARY]
 For calendar of east European economic indicators  [CONV/DIARY]
 TOP NEWS -- Emerging markets                         [TOP/EMRG]
 TOP NEWS -- Convergence watch                        [TOP/EAST]

 For an economic indicator diary for the euro zone, the United
 States and other Group of Seven countries see         <G7TODAY>

 For real-time stock market index quotes click in brackets:
 Warsaw WIG20 <.WIG20>  Budapest BUX <.BUX>  Prague PX <.PX>

                                
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