Lasting uncertainty extends forint’s losses
Hungarian construction industry suffers
Nervousness on Hungarian markets continues. Although details of FX loans conversion have not been known yet and the government officials assure markets that damage of the operation for banks will not be extensive, uncertainty weighs on the forint. Depreciating currency closed yesterday´s session at 298.4 EUR/HUF, 1.5% weaker than it had been at the beginning of July. The negative sentiment was boosted by information communicated yesterday that another board member of the OTP bank has sold his shares in the institution. A week ago, the CEO of OTP bank sold his stocks first. In the atmosphere loaded with uncertainty, insider sales like these have immediate negative impact not only on the respective shares but also on the Hungarian currency.
Read the full report: FX Daily
KBC