CEE MARKETS-Risk aversion, firmer dollar keep FX under pressure

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By Anita Komuves BUDAPEST, July 21 (Reuters) – Central European currencies were trading flat to lower on Wednesday, as investors continued to look for safe-haven assets such as the U.S. dollar amid concerns the surge of the Delta coronavirus variant could dampen global recovery. The Czech crown flitted between positive and negative territory this month, as investors were caught between the support offered by the central bank’s just-launched interest rate tightening cycle and growing concerns over the pandemic fallout. “We expect the crown to be at 25.30 per euro at the end of the third quarter,” Raiffeisen wrote in a note. “However, financial markets are sensitive to coronavirus news.” The currency weakened 0.14% to 25.695 per euro. The Hungarian forint was also unable to benefit from rate-hike expectations and eased 0.21% to trade at 359.85 per euro. “The forint is following the global mood right now, there is nothing else to give direction to it,” a…

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