{"id":45507,"date":"2013-12-17T18:40:31","date_gmt":"2013-12-17T23:40:31","guid":{"rendered":"http:\/\/countingpips.com\/forex-news\/?p=45507"},"modified":"2013-12-17T18:40:31","modified_gmt":"2013-12-17T23:40:31","slug":"czech-central-bank-confirms-fx-target-holds-rates","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex-news\/2013\/12\/17\/czech-central-bank-confirms-fx-target-holds-rates\/","title":{"rendered":"Czech central bank confirms FX target, holds rates"},"content":{"rendered":"<p>By <a href=\"http:\/\/www.centralbanknews.info\/\"><u>CentralBankNews.info<\/u><\/a><br \/>\n&nbsp; &nbsp; The Czech National Bank (CNB) held its key interest rates steady and said it would &#8220;continue to use the exchange rate as an additional instrument for easing the monetary conditions and confirmed the CNB&#8217;s commitment to intervene on the FX market to weaken the koruna so that the exchange rate of the koruna against the euro is kept close to CZK 27.&#8221;<br \/>&nbsp; &nbsp; Last month the CNB&#8217;s board agreed after months of deliberation to start intervening in the foreign exchange market to ensure that the koruna would remain low in a move to boost economic growth by making exports competitive and push up inflation that has remained below the central bank&#8217;s 2 percent midpoint target all year.<br \/>&nbsp; &nbsp; In November inflation in the Czech Republic rose to 1.1 percent from 0.9 percent in October.<br \/>&nbsp; &nbsp; &#8220;A sustained weakening of the exchange rate close to CZK 27\/EUR is needed to eliminate the threat of longer-term deflation and accelerate the return of inflation towards the target amid zero interest rates,&#8221; the central bank said, adding that latest data confirm the bank&#8217;s message that it intends to keep this exchange rate target at least until early 2015.<br \/><a name='more'><\/a><br \/>&nbsp; &nbsp; In the third quarter, the Czech economy contracted by an annual 1.3 percent, the seventh consecutive quarter of shrinkage, worse than the central bank had expected.<br \/>&nbsp; &nbsp; &#8220;The October data suggest a recovery in some industrial branches amid a continuing downturn in construction and retail sales,&#8221; the CNB said.<br \/>&nbsp; &nbsp; The central bank held its two-week repo rate steady at 0.05 percent, the discount rate at 0.05 percent and the Lombard rate at 0.25 percent.<\/p>\n<p>&nbsp; &nbsp; <a href=\"http:\/\/www.centralbanknews.info\/\">www.CentralBankNews.info<\/a><\/p>\n<p>&nbsp; &nbsp;<br \/>&nbsp; &nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By CentralBankNews.info &nbsp; &nbsp; The Czech National Bank (CNB) held its key interest rates steady and said it would &#8220;continue to use the exchange rate as an additional instrument for easing the monetary conditions and confirmed the CNB&#8217;s commitment to intervene on the FX market to weaken the koruna so that the exchange rate of &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.investmacro.com\/forex-news\/2013\/12\/17\/czech-central-bank-confirms-fx-target-holds-rates\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Czech central bank confirms FX target, holds rates&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-45507","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts\/45507","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/comments?post=45507"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts\/45507\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/media?parent=45507"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/categories?post=45507"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/tags?post=45507"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}