Forint Gains 6th Day as China Manufacturing Boosts Risk Appetite
The forint rallied for a sixth day, its longest winning streak in 10 months as global appetite for riskier assets increased amid signs China’s manufacturing is rebounding.
The currency appreciated 0.6 percent to 278.98 per euro by 9:54 a.m. in Budapest, according to data compiled by Bloomberg. The government’s 10-year bond yields fell six basis points, or 0.06 percentage point, to 6.9 percent.
Emerging-market stocks advanced for a fourth day, with price swings in the benchmark index falling to an eight-year low, as a gauge of Chinese manufacturing climbed and Israel agreed to a cease-fire with Hamas. A purchasing managers index for manufacturing in Germany, Hungary’s biggest export partner, also improved in November, data showed today.
“The forint is riding nicely on the favorable global market sentiment,” Levente Blaho and Adam Keszeg, analysts at Raiffeisen Bank International AG (RBI), wrote in a research report today.
The PMI survey, which signaled the first expansion in China’s factory output in 13 months, boosted optimism growth in the world’s second-largest economy is recovering after a seven- quarter slowdown.
To contact the reporter on this story: Andras Gergely in Budapest at firstname.lastname@example.org
To contact the editor responsible for this story: Gavin Serkin at email@example.com