Romanian Leu Advances to Longest Winning Streak in Four Months
The leu strengthened, posting its longest winning streak in more than four months, as Romanian President Traian Basescu returned to office after a 52-day suspension.
The currency appreciated 0.4 percent to 4.4527 per euro by 5:22 p.m. in Bucharest, the highest since July 4. The leu’s four-day stretch of gains is the longest since April 9.
Basescu formally resumed his duties today after a Constitutional Court ruling on Aug. 21 to invalidate an impeachment referendum was published in the Official Journal yesterday.
“The political scene has turned quiet over the past days as the suspension of the president ended,” Vlad Muscalu, a senior economist at ING Groep NV in Bucharest, wrote in a report to clients today. “Thin volumes, most likely correlated with the extended weekend in London, helped the leu firm.”
U.K. markets reopened today after a public holiday yesterday.
Romania, which has sold less debt than planned on the domestic market since June, plans to sell bonds in euros in the next two months, Deputy Finance Minister Enache Jiru told Bloomberg on Aug. 23.
Yields on its euro-bonds due 2018 fell three basis points, or 0.03 percentage point, to 5.054 percent. A close at this level would be the lowest since the bonds started trading in July 2010.
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