The forint seems to be recovering from its historic low of 400 forints in the first week of March. The upward trend seen during Hungary’s March 15 national holiday continued on Wednesday morning with the euro opening at 370.63 forints. The rise is a regional trend, with the Polish zloty and Czech koruna also performing slightly better against the euro.
This article was originally published on our sister-site, Ungarn Heute.
The forint strengthened against major currencies in international trading Wednesday morning compared to the previous evening. On Friday, the forint-euro exchange rate was still hovering above 380, but at the beginning of the week, it reached 370 in line with the improving international environment. The correction between regional currencies remains significant, but the forint has recovered slightly in recent days.
The euro was 370.37 forints in Hungary on Wednesday morning, then 369.97 in the afternoon. This is a significant recovery from the 400 forint rate seen last week. The forint also slightly strengthened against the dollar: from 339.06 to 335.34.
What can be expected?
The 370 forint rate “represents a serious level of resistance,” according to experts. If this mark is breached, the exchange rate could quickly fall back to the range between 363 and 364, or even to 359. However, indicators suggest that the upward trend of the forint will continue.
In the absence of further strengthening, the 375 or 380 forint mark could be the new target against the euro, analysts at Raiffeisen Bank said on Wednesday morning.
According to experts from Equilor Investment, the euro exchange rate (370 forints) could also be breached if the Russian-Ukrainian talks were to be successful.
Featured photo via Ungarn Heute