CEE MARKETS-Stocks, currencies regain some ground on signs Trump's health improving

By Anita Komuves BUDAPEST, Oct 5 (Reuters) - Central European currencies and stocks firmed on Monday, regaining some ground after last week's losses, as investors reacted to U.S. President Donald Trump's doctors saying he could soon be discharged from hospital where he is being treated for COVID-19. Trump's announcement on Friday that he had contracted the coronavirus had prompted risk aversion and a selloff on markets globally which also hit Central European assets. Warsaw's stock market led gains on Monday, firming 1.59%. Prague's equities were up 0.52% while Budapest strengthened 0.11%. Bucharest's blue chip index was up 0.23%. The Czech crown edged up 0.07% on the day, trading at 27.100 per euro, just hovering off a 4-month low of 27.26 hit last week. "The crown is staying under pressure because of the domestic pandemic situation and global tensions," CSOB Bank said in a note. "August data for industry and trade this week will not change the mood even if it shows a nice recovery for the third quarter - it will be old figures." Elsewhere, the Hungarian forint firmed 0.15% to 357.95 versus the common currency. The forint managed to regain some of its strength last week after hitting five-month lows prompted by increased worries about the second wave of the pandemic. The currency rebounded last week helped by technical factors and comments by central bank Deputy Governor Barnabas Virag in a Reuters interview in which he said that the bank will use its one-week deposit rate to combat inflation risks stemming from volatile global sentiment. "The technical correction that started on Thursday could continue," Erste Bank wrote in a note. "However, there have not been any changes in the fundamentals when it comes to the euro-forint exchange rate," they added, seeing a possible weakening of the forint in the mid-term. The Polish zloty was up 0.25% at 4.4922 per euro. Analysts in a Reuters poll last week said that central and eastern European currencies could bounce back over the next 12 months from recent losses on hopes of improvement in the global pandemic situation. In September the crown, the zloty and the forint lost 2-3% as rising numbers of coronavirus cases stoked fears of a damaging second wave. CEE SNAPSHO AT MARKETS T 1053 CET CURRENC IES Latest Previous Daily Change bid close change in 2020 EURCZK= Czech <EURCZK= 27.1000 27.1200 +0.07% -6.15% crown > EURHUF= Hungary <EURHUF= 357.950 358.5000 +0.15% -7.49% forint > 0 EURPLN= Polish <EURPLN= 4.4922 4.5034 +0.25% -5.25% zloty > EURRON= Romanian <EURRON= 4.8655 4.8670 +0.03% -1.59% leu > EURHRK= Croatian <EURHRK= 7.5660 7.5635 -0.03% -1.59% kuna > EURRSD= Serbian <EURRSD= 117.550 117.5800 +0.03% +0.02 dinar > 0 % Note: calculated from 1800 daily CET change Latest Previous Daily Change close change in 2020 .PX Prague 862.17 857.7200 +0.52% -22.72 % .BUX Budapest 33486.6 33449.84 +0.11% -27.33 5 % .WIG20 Warsaw 1724.33 1697.39 +1.59% -19.80 % .BETI Buchares 8900.01 8879.96 +0.23% -10.80 t % .SBITOP Ljubljan <.SBITOP 848.08 845.36 +0.32% -8.40% a > .CRBEX Zagreb 1608.12 1608.86 -0.05% -20.29 % .BELEX1 Belgrade <.BELEX1 693.88 694.84 -0.14% -13.45 5 5> % .SOFIX Sofia 420.63 420.33 +0.07% -25.96 % Yield Yield Spread Daily (bid) change vs Bund change in Czech spread Republic CZ2YT=R 2-year <CZ2YT=R 0.0890 -0.0060 +080bp +0bps R R> s CZ5YT=R 5-year <CZ5YT=R 0.4880 -0.0280 +122bp -2bps R R> s CZ10YT= <CZ10YT= 0.8590 0.0010 +139bp +0bps RR 10-year RR> s Poland PL2YT=R 2-year <PL2YT=R 0.0360 0.0000 +075bp +1bps R R> s PL5YT=R 5-year <PL5YT=R 0.5780 -0.0100 +131bp +0bps R R> s PL10YT= <PL10YT= 1.3370 0.0090 +187bp +1bps RR 10-year RR> s FORWARD 3x6 6x9 9x12 3M interb ank Czech 0.29 0.29 0.35 0.35 Rep <PRIBOR= > Hungary 1.00 1.05 1.10 0.77 Poland 0.20 0.20 0.20 0.22 Note: are for ask FRA prices quotes ********************************************** **************** (Additional reporting by Jason Hovet in Prague; Editing by Toby Chopra)