The forint firms after higher-than-expected C/A surplus
PMIs fall below forecast but stay above 50
On Monday, a forint rally continued and the currency firmed to its 7-week highs. After Friday’s change in Hungarian debt rating outlook from negative to stable, positive sentiment was further strengthened by a higher than expected current account surplus. According to NBH data the C/A surplus surged to 637 mil EUR in Q4 2013, while a parallel revision showed that also the Q3 surplus exceeded earlier estimates. The current account surplus widened to 2.941 bn EUR in 2013 and was 3.5 times larger than in the previous year. The forint firmed by 0.5 %, approaching 307 EUR/HUF. The other CEE currencies were little changed. The Czech koruna slightly eased and the zloty gained 0.1 %.
Read the full report: FX Daily
KBC