Long unseen: EUR/HUF rate falls below 400
Change language:
On Wednesday morning, the Hungarian forint strengthened against the euro, with the exchange rate falling below the HUF 400 per euro threshold for the first time since October 2024, Telex reports. This marks a four-month high for the Hungarian currency. The forint also reached a three-month peak against the US dollar, trading at approximately HUF 380 per dollar.
According to Portfolio, the forint had attempted to breach a significant technical level—the 200-day moving average—three times on Tuesday without success. It wasn’t until Wednesday morning that it convincingly surpassed this barrier, coinciding with the drop below the HUF 400 per euro mark.
Several factors have contributed to this appreciation of the forint. Analysts point to a weakening US dollar, a de-escalation in trade tensions, a slowdown in the American economy, improvements in China’s economic situation, and enhanced growth prospects within the eurozone as reasons for increased optimism regarding the Hungarian currency, Telex writes based on Portfolio’s report.