Czech May consumer prices grew at the slowest rate in almost three years as the cost of natural gas fell, adding to a debate among central bankers over plans to weaken the koruna through market intervention.
The Czech central bank will seek clues in its new economic outlook today about whether currency sales are needed to stimulate the economy after cutting interest rates to effectively zero failed to end a recession.
Komercni Banka AS, the Czech unit of Societe Generale SA, snapped two days of gains as German data showed unemployment in Europe’s largest economy increased, damping prospects for the continent’s economic recovery.
CEZ AS, the Czech Republic’s largest electricity company, climbed to the highest level in three weeks after reporting first-quarter earnings that beat analyst estimates and raising full-year profit targets.
Komercni Banka AS had its bank financial-strength rating cut at Moody’s Investors Service, which cited a Czech economic slowdown and risks of capital transfers to the lender’s owner, Societe Generale SA.