The forint has been strengthening significantly since mid-June, and was last against the euro on June 10, where it is today. It starts today below 391, showing a slight strengthening in the early morning.
The HUF is driven by the international mood. In recent weeks, the chance of an interest rate cut in the US has become greater and greater, as the interest rate path in the futures in the US has come down, the dollar has weakened, and the expected interest rate advantage of the forint has also increased. As long as the narrative in the USA does not change (or the MNB does not swing the lower-than-expected interest rate path), the forint market is not expected to weaken significantly.
The euro has moved 1.09 against the dollar in the past few days, today we see a slight strengthening of the dollar at 1.093 against the euro. The last time the euro was this strong against the dollar was in March. The dollar costs HUF 357 this morning, we have moved away from 360 somewhat.
The ECB is holding its interest rate meeting today, at which the central bank is not expected to change the key interest rate. The message will be interesting: the ECB is not expected to say much concretely due to the uncertain macroeconomic outlook, but if it does, it may bring about market movements.
The cover image is an illustration. Cover image source: Getty Images
Source: www.portfolio.hu
