Data published in June will confirm a slight decline of the Czech economy at the beginning of the year and a moderation in average wage growth. At the same time, monthly data for April will show a rapidly growing economy due to the easing of anti-pandemic measures. The reopening of services will likely lead to faster inflation in May. We expect the Czech National Bank to raise interest rates at its meeting in August. However, financial markets expect a hike as early as the June meeting.