Free Trial

Inflation Data Triggers EURHUF Uptick, Falls Shy of 50-Day EMA

HUF
EURHUF rose to a high of 380.50 following the inflation data, its highest level since Jan 04. As previously noted, the faster-than-expected drop in the headline rate may add to pressure on the NBH to increase the pace of base rate easing from 75bps (a 100bp option was considered in December) when the central bank meet next on Jan 30. Indeed, comments from the Finance Ministry following the data have already expressed concern with the harm that the current level of real interest rate could have on the economy.
  • Though EURHUF has eased off of its earlier highs, any additional upside momentum could expose 380.91, the 50-day EMA, a break of which is needed to signal a resumption of the bullish technical theme. Beyond this, the mid-December highs at 385.77 will be targeted. PLNHUF pierced the 50-DMA, but has since returned back below that average. The cross closed below this level for the first time since October last week.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.