Czech Republic's Producer Price Index (PPI) report

19 Okt 2020

The pair will break down from an uptrend channel towards its previous low. A small recovery is better than no recovery at all. This is the scenario for the EUR/CZK pair. On Friday, October 16, Czech Republic published its Producer Price Index (PPI) reports. The month-over-month report posted a 0.2% growth for the month of September against a decline of -0.3% in August. Meanwhile, the YoY report was still in the negative territory at -0.4% but slightly higher than August’s result of -0.5%. The result also beat analysts’ estimates of -0.7%. Looking at France’s Thursday report for Consumer Price Index (CPI) reports, however, Czechia’s figures were better. The second-largest economy in Europe posted a -0.5% decline in its CPI MoM. This figure was the steepest decline in the said report since January 2019. On the other hand, the zero percent growth of the YoY report for CPI was the lowest result CPI YoY since March 2018.