The leu opened at 4.44/4.441 to the euro and later strenghtened to 4.439/4.44 to the euro. However, the leu switched trend soon after and touched an early low at 4.445 to the euro, similar to Monday’s closing level.
At around 10:00 local time (GMT0700), the leu traded at 4.443/4.445 per euro, while the Hungarian forint and the Polish zloty were also flat against the euro.
The Romanian central bank set the leu’s reference rate at 4.4408 per euro Monday, slightly stronger than at the end of last week.
On the money market Tuesday morning, overnight rates fell to 2%-3% a year from 4.6%-5.1% a year Monday, after a record cash boost by the central bank. Monday, the central bank lent RON7.94 billion (EUR1.8 billion) to nine commercial banks in a repurchase agreement operation. It was the largest amount granted in repo auctions since February 2010.