BUDAPEST — The Hungarian forint firmed on
Tuesday, outperforming its peers as it was lifted by hopes the
European Union could unlock funds after the government said it
would create an independent anti-corruption authority.
The forint was up 0.32% on the day and trading at
403.35 per euro, recouping some losses from the previous session
when CEE currencies were pressured by rising gas prices.
Hungary will set up an anti-corruption authority to oversee
the spending of European Union funds, the government said late
on Monday, in a bid to unlock funds frozen by the European
Commission over rule of law and other issues.
The forint’s firming reflects “the news that Hungarian Prime
Minister Orban signed a decree to establish an independent
anti-corruption agency aimed at safeguarding EU money,” Erste
Group wrote in a note.
We “believe that the EU money theme should return to the
headlines in mid-September, which should unlock the hidden
potential of the forint,” ING wrote in a note.
“Although the initial reaction from the European Commission
may not be 100% positive, our baseline assumes an agreement is
found and the RRF money is released.”
Elsewhere, the Polish zloty edged up 0.02% to
4.7150 versus the common currency a day before a meeting of the
National Bank of Poland (NBP) where a Reuters poll of analysts
expects a base rate hike of 25 basis points to 6.75%.
Poland’s Prime Minister Mateusz Morawiecki said on Tuesday
he believes the cycle of rate hikes should come to an end soon.
“The unfavorable increase in global risk aversion may be
partially neutralized by a possible interest rate hike by the
Monetary Policy Council,” Bank Millennium wrote in a note.
“Despite its probably modest size (+25 basis points), more
important – for the markets – will be the continuation of the
The Czech crown added 0.13% to trade at 24.580 to
the euro as data showed Czech working day adjusted industrial
output rose by 0.8% year-on-year in July, a touch faster than
expected but slowing from the previous month.
Stocks in the region were mixed, with Warsaw’s equities
down 0.98% while Budapest added 0.5%.
CEE SNAPSH AT
MARKETS OT 1022
Latest Previo Daily Change
bid close change in
Note: calculated from 1800
Latest Previo Daily Change
close change in
.PX Prague 1146.3 1136.7 +0.85
9 300 %
.BUX Budapes 41338. 41130. +0.50 -18.50
t 02 96 % %
.WIG20 Warsaw <.wig20> 9 6 %
.BETI Buchare 12104. 11993. +0.93 -7.33%
st 42 36 %
.SBITO Ljublja <.sbito p na> 5 5 %
.CRBEX Zagreb <.crbex> 0 3 %
.BELEX Belgrad <.belex e> %
.SOFIX Sofia <.sofix> %
Yield Yield Spread Daily
(bid) change vs change
3×6 6×9 9×12 3M
Note: are for ask
(Additional reporting by Pawel Florkiewicz in Warsaw; Editing
by Krishna Chandra Eluri)