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CEE MARKETS-Currencies dip as Trump's threats dent hopes for swift end to Iran war

ReutersApr 2, 2026 9:22 AM

- Central European currencies fell in thin pre-holiday trade on Thursday as hopes for a swift end to the Iran war faded, although the Hungarian forint got some support from expectations that the pro-European opposition may win an April 12 election.

U.S. President Donald Trump vowed to launch more aggressive strikes on Iran in a speech overnight, disappointing investors who had hoped for clear signals about how a conflict that has wreaked havoc on the global economy could be brought to an end.

"Yesterday there were hopes that something good would happen. It didn't," said a Warsaw-based FX trader. "So, yes, the currencies opened weaker today."

Markets in the Czech Republic, Poland and Hungary will be closed on Friday and Monday due to the Easter holiday.

The Polish zloty was 0.20% weaker against the euro at 4.29.

HUNGARIAN ELECTION

The Hungarian forint EURHUF=, which in recent weeks has been buffeted by the turbulence in global markets while also receiving some support from expectations of an opposition election win, was 0.29% weaker against the euro at 383.80, having recovered from 385.85 following Trump's speech overnight.

Polls have shown the centre-right opposition Tisza party with a lead over Prime Minister Viktor Orban's Fidesz, threatening to end its long rule.

Markets generally view a Tisza win as better to unlock billions of euros of European Union funds that have been suspended due to concerns about democratic standards under Orban.

An FX trader in Budapest said a poll published on Thursday showing Tisza in the lead had helped the forint recover. Two polls on Wednesday also showed it in the lead.

"This is what the markets has been pricing in, there was similar activity yesterday as well, we saw buyers for the forint," the trader said.

The Czech crown EURCZK= was 0.07% weaker at 24.534, with Komercni Banka analysts pointing to "decidedly risk-off" sentiment due to Trump's speech.

CEE MARKETS SNAPSHOT AT 1032 CET

CURRENCIES

Latest trade

Previous close

Daily change

Change in 2026

Czech crown

EURCZK=

24.5340

24.5180

-0.07%

-1.50%

Hungary forint

EURHUF=

383.8000

382.7000

-0.29%

+0.15%

Polish zloty

EURPLN=

4.2900

4.2815

-0.20%

-1.73%

Romanian leu

EURRON=

5.0980

5.0971

-0.02%

-0.08%

Serbian dinar

EURRSD=

117.3000

117.4000

+0.09%

+0.00%

Note: daily change calculated from 1800 CET

STOCKS

Latest

Previous close

Daily change

Change in 2026

Prague

.PX

2537.71

2553.0200

-0.60%

-5.51%

Budapest

.BUX

123313.53

124307.61

-0.80%

+11.06%

Warsaw

.WIG20

3384.71

3402.92

-0.54%

+6.30%

Bucharest

.BETI

28033.52

27993.14

+0.14%

+14.71%

BONDS

Yield (bid)

Yield change

Spread vs Bund

Daily change in spread

Czech Rep 2-year

CZ2YT=RR

4.1630

0.0730

+153bps

+5bps

Czech Rep 5-year

CZ5YT=RR

4.4570

0.0180

+172bps

+0bps

Czech Rep 10-year

CZ10YT=RR

4.8790

0.0150

+186bps

-1bps

Poland 2-year

PL2YT=RR

4.4320

-0.0300

+180bps

-6bps

Poland 5-year

PL5YT=RR

5.1680

0.0280

+243bps

+1bps

Poland 10-year

PL10YT=RR

5.7870

0.0450

+277bps

+2bps

FORWARD RATE AGREEMENTS

3x6

6x9

9x12

3M interbank

Czech Rep

CZKFRA, PRIBOR=

3.80

4.13

4.22

3.57

Poland

PLNFRA, WIBOR=

3.99

4.19

4.32

3.85

Note: FRA quotes are for ask prices

Disclaimer: The information provided on this website is for educational and informational purposes only and should not be considered financial or investment advice.
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