Hungary to Hold Rates as Iran Turmoil Upends Monetary Outlook

Hungary's central bank is expected to hold its key policy rate at the final meeting before April elections. Turmoil in financial markets has left Hungarian assets among the most exposed globally, implying continued risk-off pressure on the forint, sovereign bonds and domestic banks and limiting policy flexibility ahead of the vote.

Analysis

Hungary's central bank is expected to hold its key policy rate at the final meeting before April elections. Turmoil in financial markets has left Hungarian assets among the most exposed globally, implying continued risk-off pressure on the forint, sovereign bonds and domestic banks and limiting policy flexibility ahead of the vote.