The currency opened at 4.346/4.349 to the euro and moved in a tight range during early trading hours. Around noon, the currency strengthened to 4.33 to the euro, but euro demand from non-residents drove the leu back down toward 4.35 to the euro.
Elsewhere in the region Thursday afternoon, the leu’s peers were losing up to 1.26% versus the euro, amid increased investor aversion to high-risk assets.
Romania’s central bank set the leu’s reference at 4.332 per euro, 0.4% stronger from 4.3497 per euro a day earlier. Against the US dollar, the leu’s indicative won 1.2% on the day to 3.3337 units, the highest rate in two weeks.
In the money market, overnight rates inched down to 3%-3.5% a year, from 3.2%-3.7% a year Wednesday.