Share prices seesaw but remain almost exactly at Monday levels

Shares on the Prague Stock Exchange seesawed on Tuesday. In the first trading since US lawmakers rejected a proposed financial rescue deal, share prices on the main PX index tumbled by 6 percent on Tuesday morning. However, the decline in share values was later reversed, and prices at the close of trading were just 0.07 percent below those on Monday evening.

The Czech National Bank reiterated on Tuesday that the Czech economy was relatively isolated from the ongoing financial crisis, saying there was no reason for disquiet.

Banks in the Czech Republic have started limiting the repayment period for loans to one another to a week, the newspaper Hospodařské noviny reported. However, Czech banks have enough cash to finance themselves, by contrast with those in a number of other countries. One analyst told Hospodařské noviny the worst banks in the Czech Republic could expect was a slow-down in profits.