1. The decline in property prices has stopped, caution remains
(http://www.novinky.cz/finance/209492-pokles-cen-nemovitosti-se-zastavil-opatrnost-pretrvava.html)
High-level overview of article:
In the first half of 2010 saw prices of residential housing in the Czech Republic, the minimum decrease in average between one to two percent, which analysts consider a sign of stabilizing the price level in the Czech real estate market. According to a report of international consultancy companies in the real estate King Sturge published in those days.
Our take:
In my opinion, if all the factors listed (unemployment, reduced lending, economic situation) did not drop the prices further over the last 3 to 4 quarters, we will not see any significant changes to the worse in the future.
2. Czech Central Banker Says Period of Low Rates `Ended,’ Hospodarske Reports
(http://www.bloomberg.com/news/2010-08-26/czech-central-banker-says-period-of-low-rates-ended-hospodarske-reports.html)
High-level overview of article:
Czech central bank board member Kamil Janacek said policy makers will “certainly” discuss the level of interest rates at their next meeting given the growth of exports and rising commodity prices.
Our take:
We should expect significant strengthening of the CZK over the next months.
3. Holman: ČNB likely to raise interest rates to 1%
(http://praguemonitor.com/2010/08/30/holman-%C4%8Dnb-likely-raise-interest-rates-1)
High-level overview of article:
The Czech National Bank (CNB) will probably raise the benchmark interest rate by 0.25 percentage point to one percent at the end of this year or at the beginning of 2011, Czech National Bank (CNB) Bank Board member Robert Holman told server Tyden.cz.
Our take:
I think the funniest sentence is this: “CNB Bank Board member Kamil Janacek told the server of weekly Hospodarske noviny on Wednesday that the times of low interest rates were over in the Czech Republic.” Personally I don’t think consumers ever saw low interest rates here although the banks did.
4. Average Czech Wage up 2.4% in Q1 yr/yr, Real Wage 1.2% Higher
(http://www.financninoviny.cz/english/zpravy/average-wage-up-2-4-in-q1-yr-yr-real-wage-1-2-higher/523605)
High-level overview of article:
In the first half-year of 2010, the average wage reached Kc23,135 and was Kc521 or 2.3 percent higher compared with the same period of 2009. Real wage rose by 1.4 percent.
Our take:
Good overview in the second half of the article regarding where analysts think wages will go over the next year or so.
Updated/Aktualizováno: July 22, 2014,