CEE MARKETS-FX eases marginally on profit taking, euro gains help

       By Radu-Sorin Marinas
    BUCHAREST, Nov 26 (Reuters) - Central European currencies
edged down slightly on Thursday, with the euro firming to a
nearly three-month high partly erasing a fresh bout of profit
taking by investors.
    The single currency firmed strongly as the dollar went on
the defensive on downbeat U.S. economic data and optimism about
coronavirus vaccines. The euro zone is Central Europe's main
trading partner.
    By 1010 GMT, the Crown was 0.1% softer on the day, trading
at 26.18 to the euro, and the Polish zloty eased 0.2% to 4.4745.
The Hungarian forint and the Romanian leu
edged 0.01% down to 361.1 and 4.8735 respectively.
    The region's currencies and stock markets have steadily
climbed over most of November as appetite for risk has grown
after a trio of drugmakers reported high efficacy rates for
their COVID-19 vaccines.
    Analysts, however, have noted that currencies should trade
sideways from current levels, as vaccine hopes are already
mostly priced in.
    "The forint has been taking a rest ... though the technical
picture is indicating a direction upwards, there is no push
factor to start the movement upwards," brokerage Equilor wrote
in a note.
    Elsewhere, the Romanian finance ministry will auction 500
million euros worth of 2025 euro-denominated bonds. So far this
year, Romania sold 68 billion lei of local currency debt, as
well as 2.3 billion euros of domestic euro-denominated paper. It
also tapped 8.8 billion euros and $3.3 billion from foreign
    Stock markets in the region mostly eased, with Prague's
stock index correcting, down 0.4% after rising to its
highest since March 6 in the previous session. Budapest's blue
chip index eased 0.2% and Warsaw was 0.02% down.
BucharestBETI> was 0.5% up.

              CEE MARKETS   SNAPSHOT   AT
                                      1120 CET
                            Latest    Previous  Daily    Change
                            bid       close     change   in 2020
 Czech crown                 26.1800   26.1390   -0.16%   -2.86%
 Hungary                    361.1500  361.1000   -0.01%   -8.31%
 Polish                       4.4745    4.4605   -0.31%   -4.87%
 Romanian                     4.8740    4.8740   +0.00%   -1.76%
 Croatian                     7.5550    7.5583   +0.04%   -1.45%
 Serbian                    117.4800  117.5500   +0.06%   +0.08%
 Note: daily  calculated from                   1800
 change                                         CET

                            Latest    Previous  Daily    Change
                                      close     change   in 2020
 Prague                       962.85  966.7600   -0.40%  -13.69%
 Budapest                   38957.58  39035.10   -0.20%  -15.46%
 Warsaw                      1859.70   1860.15   -0.02%  -13.51%
 Bucharest                   9297.00   9244.19   +0.57%   -6.82%
 Ljubljana                    880.68    876.97   +0.42%   -4.88%
 Zagreb                      1697.39   1699.22   -0.11%  -15.86%
 Belgrade                     714.23    713.27   +0.13%  -10.91%
 Sofia                        422.27    422.39   -0.03%  -25.68%

                            Yield     Yield     Spread   Daily
                            (bid)     change    vs Bund  change
 Czech                                                   spread
   2-year                     0.0220   -0.0470   +078bp    -4bps
   5-year                     0.7370    0.0040   +150bp    +1bps
   10-year                    1.2400   -0.0060   +182bp    +0bps
   2-year                     0.0650   -0.0030   +082bp    +0bps
   5-year                     0.4700   -0.0490   +123bp    -4bps
   10-year                    1.2500   -0.0070   +183bp    +0bps
                            3x6       6x9       9x12     3M
 Czech Rep            Hungary              Poland               Note: FRA    are for ask prices

 (Additional reporting by Anita Komuves in Budapest and Robert
Muller in Prague; Editing by Shounak Dasgupta)

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