October 8 (SeeNews) - The Romanian leu on Thursday weakened against the euro in a trading session marked by low liquidity and lack of much volatility, dealers said.
The leu ended at 4.2780/2800 per euro, compared to 4.2650/2700 per euro on Wednesday.
The leu opened at 4.2690/2700 per euro and followed a depreciation trend, in line with its regional peers, especially the Hungarian forint and the Polish zloty, one dealer told SeeNews.
Political uncertainty continued to put pressure on the leu and the market players are now waiting for the outcome from the no-confidence motion against the minority government led by Prime Minister Emil Boc scheduled for next Tuesday, the dealer said.
Last week the leu neared the 4.3-per-euro mark amidst political turmoil following the break-up of the country’s two-party government coalition. All ministers from left-wing Social Democratic Party stepped down last week after President Traian Basescu endorsed the dismissal of Interior Minister Dan Nica, affiliated to the party.
Romania’s central bank, BNR, set its reference exchange rate at 4.2766 per euro on Thursday, compared to 4.2673 per euro on Wednesday. For the U.S. dollar, the BNR set its reference exchange rate at 2.8952 versus Wednesday’s 2.9001.
Turnover on the interbank leu deposit market fell to 1.419 billion lei on Wednesday from 1.929 billion lei on Tuesday. The BNR will issue Thursday’s turnover figures on Friday.
Interest rates on overnight leu deposits fell to 8.53%/9.03% on Thursday from 9.68%/10.18% on Wednesday.