Friday, July 27, 2007

Hungary's Forint Posts Weekly Drop as Investors Flee Emerging Markets

(Bloomberg) -- The Hungarian forint posted its
biggest weekly drop against the euro in 10 months as tumbling
global stocks and concern about U.S. subprime mortgage losses
prompted investors to shun emerging markets.

The forint was the third worst performer against the euro
over the past five days, sliding more than 2 percent, as the NTX
Index of stocks in central Europe's 30 largest companies declined
the most in a week since March. Investors reversed trades where
they'd bought the forint to take advantage of Hungary's 7.75
percent interest rate, also sending the currency tumbling.


Read more at Bloomberg Currencies News

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