Issuance activity: Tomorrow, MinFin is scheduled to auction CZK2.0bn of 2032 bonds and CZK2.0bn of 2038 floaters. The updated April’s calendar indicates a total supply of CZK17.0bn of CZGBs, while the total issuance for 2Q remaining at CZK50.0bn. Overall, MinFin has sold CZK83.7bn of CZGBs in primary auctions, with an additional CZK50.6bn of taps and CZK38.1bn of switches on the secondary market year to date. The secondary market is therefore becoming increasingly significant this year, probably due to its higher flexibility amid heightened market volatility.

Issuance activity: Tomorrow, MinFin is scheduled to auction CZK2.0bn of 2032 bonds and CZK2.0bn of 2038 floaters. The updated April’s calendar indicates a total supply of CZK17.0bn of CZGBs, while the total issuance for 2Q remaining at CZK50.0bn. Overall, MinFin has sold CZK83.7bn of CZGBs in primary auctions, with an additional CZK50.6bn of taps and CZK38.1bn of switches on the secondary market year to date. The secondary market is therefore becoming increasingly significant this year, probably due to its higher flexibility amid heightened market volatility.

Market situation: Czech rates continue to follow trends in core markets, which are primarily driven by swings in sentiment caused by headlines about the conflict in the Middle East. As expected, Czech PPI rose by 1.5% mom in March due to higher energy prices. Although food industry prices rose slightly by 0.1% mom in March after seven months of decline, this, together with other indicators, does not imply significant upward pressure on final consumer food prices in the near term. However, the acceleration of construction material price growth and continued growth in construction work prices are likely to put upward pressure on imputed rent, contributing to the acceleration of core inflation in March (more information can be found here: https://bit.ly/CPI_Mar26_EN). CNB Board member Jan Kubíček and Deputy Governor Eva Zamrazilová both expressed no need to rush with monetary tightening.  Although they both admitted that a hike is the more likely next move, the central bank should not react to the primary effects of higher fuel prices, but rather closely monitor potential spill-overs to other segments of the consumer basket, as well as inflation expectations and wage demands. Moreover, they noted that some tightening has already been delivered by the recent rise in CZK IRS.

Rates outlook: Given that the CNB is relatively well positioned to navigate the oil price shock, we expect it to wait for more clarity rather than act pre-emptively at this stage. Rate hikes may only be on the table if there are significant second-round effects on other components of inflation. For now, we are keeping our call for CNB policy unchanged and therefore continue to expect interest rates to remain on hold until the end of the year.

Thursday, April 23, 2026, is the last day of trading in Moneta shares with the right to receive a dividend of CZK11.50 per share.

The approved dividend offers a gross yield of +5.8% and represents 90% of the 2025 net profit. The dividend will be distributed beginning May 15, 2026.

Shareholders approved the dividend at the Annual General Meeting on Tuesday, April 21, 2026.

Thursday, April 23, 2026, is the last day of trading in Moneta shares with the right to receive a dividend of CZK11.50 per share.

The approved dividend offers a gross yield of +5.8% and represents 90% of the 2025 net profit. The dividend will be distributed beginning May 15, 2026.

Shareholders approved the dividend at the Annual General Meeting on Tuesday, April 21, 2026.