Israel’s central bank needs to follow yesterday’s surprise interest rate cut and dollar purchase plan with more measures to succeed in stemming the shekel’s gains, the currency’s most accurate forecasters say.
The forint dropped the most in a month as central bank President Gyorgy Matolcsy signaled further measures to loosen policy and Goldman Sachs Group Inc. recommended selling the currency. Yields plunged at a bond sale.
Hungary’s bond yields fell the most in more than two weeks and borrowing costs plunged at a Treasury-bill auction on speculation the central bank will cut interest rates next week to counter the deepening recession.
Romanian Prime Minister Victor Ponta’s newly won super majority in Parliament risks sharpening his feud with the president, hurting the Balkan country’s image further, said analysts from London to Bucharest.