A surprising twist! HUF has not done this for a long time
The Hungarian forint strengthened against all major currencies on Thursday, with the last time it was at a similar exchange rate to EUR 1 was in May 2022.
The forint strengthened against the major currencies on Thursday morning compared to Wednesday evening. The euro was HUF 386.51 at 7 a.m., while the Swiss franc was HUF 385.97. One dollar costs 354.3 forints, index.hu reports.
According to Trandingview, the last time the euro was HUF 386 was on 17 May 2022. The forint has been strengthening steadily after the Magyar Nemzeti Bank’s interest rate decision.
According to Dávid Németh, senior macroeconomic analyst at K&H Bank, the main reason behind the strengthening of the forint is the central bank’s tightening measures. Analysts say the increase in the reserve ratio was an important and expected move.
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Source: index.hu, Trandingview
10 months is really a “long time”.