Romanian Leu Continues Slide, Ctrl Bk Indicative At 2-Mo Low

The central bank computed an indicative rate for the lau at RON0.0124, higher compared with Wednesday’s indicateive rate of 3.8874 to the euro.

A higher level was computed by the central bank on October 8, of RON3.9233 to the euro.

“The leu level reached a low of 3.9195 to the euro on a high foreign currency demand. (…) The central bank might have stepped in on the money market not to support the leu, but to make its descending trend smoother,” a dealer said.

At around GMT  1110, the leu was trading at 3.9050/3.9060 against the euro.

“Currencies in the region also depreciated against the euro in early trade, but recovered their losses afterwards and have a stable evolution,” the dealer added.

On the money market, overnight rates were at 11.97%-11.72% on the year, while weekly rates at 12.05%-13.37% on the year.