The forint fell
After the MNB cut interest rates, the euro’s exchange rate has remained above 360 forints. The weakening of the forint is due to the escalation of the Iran-Iraq war, rising oil prices, the strengthening of the dollar, and the MNB’s intervention in the Iranian market. In addition, rising oil prices and the increase in US Treasury yields have pushed the dollar to its lowest level against the Japanese yen in 40 years, prompting the market to watch for Japanese yen intervention.
Following the MNB’s interest rate cut, the euro’s exchange rate remains above 360 forints. The weakening of the Hungarian currency is primarily due to the escalation of the Iranian war and the renewed rise in oil prices, the strengthening of the dollar, and the MNB’s guidance. The strengthening of the dollar, supported by rising oil prices and US bond yields, has pushed the Japanese yen to a 40-year low, and the market is closely watching for a possible Japanese intervention in the forex market.
