Central European currencies moved sideways on Monday on a quiet day of trading untroubled by any shocks from EU parliament elections, while shares in Czech utility CEZ gained slightly as it announced a plan to sell foreign assets.
CEZ shares rose 0.4%, bucking a 0.2% decline in Prague stocks, after CEO Daniel Benes detailed a strategy shift that could see it sell most of its foreign assets as part of a refocus on its home market.
Budapest stocks led the region with a 0.7% gain in morning trade in a session with limited activity due to a US market holiday.
Parties committed to strengthening the European Union held on to two-thirds of seats in the EU parliament, official projections from the bloc's elections showed on Sunday, though far-right and nationalist opponents saw strong gains.
"Essentially all remains unchanged in the EU parliament, with the caveat that the European Peoples' Party-Socialist coalition will form a majority with the liberals in the new parliament," analysts at brokerage Erste Investment said.
"The far-right surge envisioned by many had failed to materialise."
The Hungarian forint, which has been testing new 2-year lows versus the euro in recent weeks, treaded water near the 325 mark ahead of a Tuesday policy meeting by the National Bank of Hungary.
Market players expect the bank to keep its base interest rate on hold for the rest of 2019, preferring to tackle rising inflation by letting interbank rates rise.
"If there is any change in the post-meeting statement (on Tuesday) that could have a market impact, but otherwise it is really quiet because of the dollar-holiday," a Budapest-based currency dealer said.
"We are stuck in the 325-327.5/328 range," the dealer said, adding that the outcome of the European election had no market impact.
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