Forint continues to strengthen: Sunday will be its black day?

The forint exchange rate against the euro continues to decrease despite the American inflation data and other external effects. But will that trend remain durable? For example, the Turkish elections may result in a plummet next week. At least, that is what experts said before. The forint seems to have become more resistant to external monetary and policy changes.

According to Világgazdaság, despite the USA announcing higher inflation data than expected, the forint continues to rise. The USD strengthened while the euro weakened, but the forint did not follow the European currency. Last year, such exchange rate changes considerably affected the Hungarian national currency.

Furthermore, the Hungarian central bank announced the reversal of the previous interest rate increase program this Tuesday. But the forint was not disturbed by that news even though its exchange rate is protected by the high Hungarian base interest rate (13 percent currently). At the moment, its currency exchange rate against the euro stands at 371.41, even though, on Thursday, it was above 372.