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Unemployment Rate Fell To 3.9% In May

HUNGARY
  • This morning, economic data showed that the unemployment rate fell to 3.9% in May, down from 4.4% the previous month. April wage growth will come out tomorrow (June 30) and could grow by over 10% YoY due to the base effect. PPI inflation will also come out on June 30.
  • Business sentiment is expected to continue to improve with June manufacturing PMI expected to increase to 55 (from 52.85 the previous month).
  • USDHUF ticks higher this morning and is currently testing its 295 resistance; next level to watch on the topside stands at 297.50, followed by 299.20 (200DMA). On the downside, ST support to watch stands at 292.15 (50D SMA), followed by 290.
  • Hungary 10Y yield has been retracing higher in the past few days, currently trading slightly below its 50D SMA (2.85%). ST key resistance to watch on the topside stands at 3%; on the downside, first support to watch below 2.80% stands at 2.73% (100D SMA).

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