The EUR to CZK exchange rate shows a range-bound bias, currently trading around 24.17.
Key drivers include:
- The Czech National Bank (CNB) projects a stable koruna, with slight appreciation expected due to easing inflation.
- Economic growth in the Eurozone, particularly a projected 1.6% GDP increase, supports the euro's strength.
- Global trade uncertainties, exacerbated by US tariffs, continue to influence both currencies.
The near-term range suggests trading within a narrow band around the current levels, reflecting stability. Upside risks may arise from better-than-expected economic data from the Eurozone, while downside risks include renewed geopolitical tensions affecting the Euro.
Recent oil prices, trading close to 62.09, may also influence the EUR as energy market dynamics remain critical. Fluctuations in oil can affect inflation and growth outlooks, impacting both currencies in the exchange rate.