The Budapest Stock Exchange opened the year with momentum
The leading index of the Budapest Stock Exchange opened the year with momentum: the nearly 8 percent plus in January is twice the inflation rate for the whole year last year. In addition, the index is well above the 0.9 percent monthly average growth achieved in the past 25 years, which also represents one of the best starts to the year – according to the compilation of K&H Securities.
This year started off excitingly for small and large investors, who, among other things, were trying to make a profit on the Budapest Stock Exchange. The leading index, the BUX, started the year off well and strengthened by 7.8 percent in January. This also means that the index increased by twice the inflation rate of last year in a single month – announced K&H Securities.
The financial institution’s experts looked at the current and past performance of the Budapest Stock Exchange on the occasion of the fact that significant interest payments will also be made by the Hungarian State Treasury in the first months of 2025, as Premium Government Securities will now pay interest based on the inflation rate in 2023. In 2023, inflation was 17.6 percent, and based on this, investors can now receive very high interest rates. However, it should be noted that after the interest rate change, last year’s, 2024’s inflation will be the decisive factor, which was “only” 3.7 percent last year. In 2026, much lower interest rates are expected for these series, and investors will therefore also see lower values in terms of the interest accumulated up to that point.
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