Monday, the leu’s rate was at 4.5307 to the euro.
Against the US dollar, the leu’s indicative gained 0.6% to 3.6569 units, from 3.679 units in the previous day.
The leu opened slightly down at 4.5355/4.5375 per euro, from 4.5325/4.535 per euro at Monday close. It further advanced, and hit an early high of 4.5135 to the euro before returning toward 4.52 to the euro around noon.
Market participants said the leu’s appreciation was fueled by mixed factors, including the higher interest rates following the central bank’s decision to cap its weekly repurchasing operations, better-than-expected economic data for the second quarter, as well as covert interventions from the central bank to support the currency.
Romania’s gross domestic product expanded 0.5% in the second quarter, after a decline of 0.2% in the previous three months, a flash estimate of the country’s statistics institute showed earlier Tuesday. For the first six months of 2012, the GDP grew at an annualized rate of 0.8%.
In the money market, overnight rates rose to 6%-6.5% a year, from 5.3%-5.8% a year Monday.