Headlines
Czech GDP growth revised a touch upside
Polish statistical office confirmed its first GDP estimate
Yesterday, the Central European currencies benefited of better mood in global markets and strengthened against the euro. The Hungarian forint reached the largest gains but the zloty and the koruna also edged higher and the Czech currency returned below EURCZK 27.10.
As for today’s Czech Q2 GDP data update, headline estimates did little change. The year-on-year growth remained at 4.4 % while in quarter-on-quarter terms the estimate was revised a touch upside to 1.0 % (from 0.9%). More importantly, the statistical office also released a growth structure showing that aggregate demand was driven by investment and consumption while industry has remained the key sector on the supply side. In other words, neither headline figures nor their structure surprised investors and hence triggered market reaction.
Regarding the Polish GDP, the statistical office confirmed its first estimates (+3.3% Y/Y, +0.9% Q/Q) and we therefore see no market reaction to the release in that country, either.
This non-exhaustive information is based on short-term forecasts for expected developments on the financial markets. KBC Bank cannot guarantee that these forecasts will materialize and cannot be held liable in any way for direct or consequential loss arising from any use of this document or its content. The document is not intended as personalized investment advice and does not constitute a recommendation to buy, sell or hold investments described herein. Although information has been obtained from and is based upon sources KBC believes to be reliable, KBC does not guarantee the accuracy of this information, which may be incomplete or condensed. All opinions and estimates constitute a KBC judgment as of the data of the report and are subject to change without notice.
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