(Bloomberg) -- The Hungarian forint snapped a four-day
losing run after the central bank unexpectedly held interest rates
today at the highest in the European Union.
The forint had its biggest one-day gain in seven weeks today
as Hungary's rate-setting Monetary Council kept the two-week
deposit rate at 8 percent for a seventh month. Economists surveyed
by Bloomberg News had forecast a quarter-point cut. Hungary's high
benchmark makes the forint a favorite for carry trade investors,
who borrow in low interest rate currencies like the yen or Swiss
Franc to fund higher-yielding investments elsewhere.
Read more at Bloomberg Currencies News
losing run after the central bank unexpectedly held interest rates
today at the highest in the European Union.
The forint had its biggest one-day gain in seven weeks today
as Hungary's rate-setting Monetary Council kept the two-week
deposit rate at 8 percent for a seventh month. Economists surveyed
by Bloomberg News had forecast a quarter-point cut. Hungary's high
benchmark makes the forint a favorite for carry trade investors,
who borrow in low interest rate currencies like the yen or Swiss
Franc to fund higher-yielding investments elsewhere.
Read more at Bloomberg Currencies News
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