Daily summary of the Czech economy: CEZ, Hypoindex, Boeing, Aristocrat, Eloro Resources, European Commission and steel (8 October 2025)

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Overview of the latest economic events in the Czech Republic

The Prague Stock Exchange weakened, with the PX index falling 0.82 % to 2358.83 points from Monday's record highs, with most traded titles ending in the red. Banks and energy companies in particular did not fare well CEZ. This decline follows several days of strong gains that brought the PX index to its highest level of the year on Monday. Experts point out that investors are now partially taking profits and waiting for the next rate hike by the Czech National Bank.

On a macro level, domestic demand for property financing was pleasing - Swiss Life Hypoindex reports that the average mortgage offer rate fell to 4.91 % at the beginning of October, the lowest since April 2022. Five-year fixings drove the decline, while three-year rates rose slightly. This trend could support activity in the property market as well as increased demand for refinancing. The fall in interest rates is also supporting a rise in consumer confidence and creating room for new housing investment.

Foreign investment

There have been several significant steps in the field of international transactions and acquisitions. Boeing received conditional approval from the European Commission for the acquisition of the company Spirit AeroSystems worth about $4.7 billion, and will have to divest some European plants.

Group Ingka Group, owner of the network IKEA, announced the acquisition of technology company Locuswhich develops artificial intelligence to optimise logistics routes. In the gaming industry, he signed Aristocrat the agreement on the acquisition of the company Awager Ltd., strengthening its position in the casino gaming streaming industry.

Energy giant Shell continues to buy back its own shares, with transactions undertaken to strengthen the Group's capital structure and improve returns to shareholders. In the real estate market, it has completed Keppel REIT Purchase of 75% interest in Top Ryde City shopping centre in Sydney, expanding its portfolio of stable retail assets. Mining sector revived Ellora Resourceswhich increased its stake in the company Cartier Silver through the purchase of shares and warrants.

These acquisitions and capital transactions suggest that global investment activity remains strong, and Czech financial institutions, particularly Commercial Bank a CSOB, are pursuing opportunities to finance similar projects in Central Europe. Activity in the M&A sector could also encourage Czech consulting and law firms that have long been involved in such deals.

Significant events outside the Czech Republic with global impact

The European Commission has presented a proposal to protect the steel sector, under which steel import quotas would be reduced by 47 percent to 18.3 million tonnes per year. At the same time, it is proposed to increase the duty on over-quota supplies from the current 25 to 50 per cent. The move could significantly affect European industries, especially carmakers and engineering firms dependent on imports of raw materials. Analysts warn that the measure may increase steel prices in the short term, but at the same time strengthen the competitiveness of European producers.

The commodity markets witnessed a historic event - the price of gold for immediate delivery surpassed the $4,000 per troy ounce mark for the first time. It later stabilised just below this level. This increase is linked to growing uncertainty in the financial markets, a weakening dollar and investor fears of inflation. Growing interest in safe havens such as gold and the Swiss franc may also affect exchange rate movements in the Czech koruna.

gnews.cz - GH

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