Global financial markets are witnessing significant shifts as bond yields in Hungary and Romania rise while cryptocurrencies face notable turbulence. The long end of the curve has moved visibly upward in these Eastern European nations, with Hungary and Romania experiencing week-to-date increases of 14 and 11 basis points, respectively. Meanwhile, Bitcoin's price continues its descent, trading below the $96,000 mark on Wednesday after a more than 5% decline the previous day. This trend accompanies a wave of liquidations throughout the crypto market, amounting to $694.11 million over the last 24 hours.
In Romania, political developments also capture attention with the announcement of presidential elections scheduled for May. The first round will take place on May 4, followed by a potential run-off on May 18. As political landscapes evolve, economic indicators such as Eurozone Retail Sales and Fedspeak remain focal points for investors and policymakers alike.
Currency markets are also experiencing shifts, with GBP/USD accelerating its decline, reaching its lowest level in over a year at approximately 1.2250 during European trading on Thursday. BNB's momentum indicators suggest a further decline, as both its Relative Strength Index and Moving Average Convergence Divergence exhibit bearish signals.
In Croatia, the economy continues to outperform its peers, despite a substantial decline of around 1 percentage point. In contrast, Czechia reported the lowest unemployment rate in the European Union in November 2024 at 2.8%. Poland follows closely with an unemployment rate of 3% according to LFS data, although local metrics indicate a slightly higher rate of 5%.
The EUR/USD pair trades with mild losses for the third consecutive day, hovering around 1.0300 in the European session on Thursday. These movements reflect ongoing volatility in the global currency markets as investors react to economic data and geopolitical developments.