The Prague Stock Exchange remained stagnant yesterday, with the PX index falling by a negligible 0.09 percent. According to preliminary estimates from the Czech Statistical Office (ČSÚ), inflation in June slowed to 1.5 percent year-on-year, bringing it below the target set by the central bank. This was partly due to a decrease in fuel prices. However, gasoline prices have increased by 21 haleras per liter. Prime Minister Babiš pledged to increase defense spending above two percent of GDP in 2027 at the NATO summit in Ankara.
The Prague Stock Exchange remained stagnant yesterday. The PX index fell slightly by 0.09 percent to 2613.26 points. Erste Bank and Moneta Money Bank shares performed well among leading companies, while Komerční banka, the insurance company VIG, and the energy company ČEZ lost value. Among smaller companies, Philip Morris's tobacco company shares improved, while securities from arms manufacturers weakened. On Friday, before the holidays, the PX index closed above 2600 points for the first time since April.
Inflation in June, according to preliminary estimates from the Czech Statistical Office, decreased by 0.3 percent month-on-month and increased year-on-year by only 1.5 percent. This means that the rate of price increases has fallen below the central bank's two percent target. This was mainly due to a decrease in fuel prices related to the calming situation in the Middle East. The definitive data will be published by ČSÚ on July 10.
Fuel prices are increasing. The maximum allowed price for gasoline is rising by 21 haleras to 41.31 crowns per liter, while diesel can cost a maximum of 37.29 crowns per liter, an increase of 13 haleras. The government has extended the fuel price regulation until July 19.
Prime Minister Andrej Babiš pledged at the NATO summit in Ankara that the government would increase defense spending above the mandatory minimum of two percent of GDP in 2027, compared to approximately 1.8 percent this year. This increase corresponds to roughly 36 billion crowns compared to this year's 154.8 billion crowns and will be reflected in the preparation of the state budget for next year.