Forint unable to stand up: Despite good news, rapid weakening continues
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Despite continuous good news for the forint, the Hungarian currency is weakening again. This might come as a surprise given that both the central bank and the finance minister have indicated that they want a stable exchange rate. It is highly possible that there is a technical reason behind it now, after the failure to break through the high level in the strong direction.
In the early morning hours, it seemed like the forint could be strengthening. However, it changed directions real quick: in just an hour, the euro strengthened 4 units against the forint, Portfolio writes.
This happened despite the fact that in recent days, lots of good news have surfaced about the forint. Firstly, a central bank analysis announced that the devaluation of the forint is no longer considered favorable. After this, the Minister of Finance Mihály Varga emphasised that he is now also a supporter of the stable national currency.
Perhaps the currency is being held for our high interest rates?
As usual, our – ehh – performance is pretty spectacular, compared to the rest of the EU.
https://www.statista.com/statistics/1320828/key-interest-rate-european-union-by-country/
Finance Minister -Mihaly Varga – reverting back in time pre the Covid arrival in Hungary February 2020, that saw him Varga, being CORRECTLY criticized by those of KNOWLEDGE – in Economic, Finance and Banking, that the PATH he and the Prime Minister of Hungary – Victor Orban had chosen jointly “signed off” on, was FRAUGHT with High Risk Danger.
The Economy, of Hungary continues to WEAKEN and Vargas comments of a “Stable” currency, an IMPOSSIBILITY.
The internal forces plus the external forces on the Hungarian Economy, the Minister of Finance, dismissive in comment ALWAYS of the cataclysmic disaster our Economy is in, and WORSENING, which is likened to a FLAG on a flag pole, the wind – violently throwing it in all directions, that eventually it will snap off the flag pole, descending into the earth below.
Stability and Sustainability in the forint and the Economy of Hungary – will not be PLEASANT to witness sooner than later, that gives ALL indications – we are looking at an Economic picture of a “collapsing” Economy.