The Hungarian central bank meeting is on the agenda today while EUR/HUF has stabilised at 412.00. Economists at ING expect the EUR/HUG to move back to a 405-410 range.

The forint should remain supported

“Although the National Bank of Hungary does not need to hike rates again at the moment, we expect the central bank to confirm its readiness to act if the forint decides to weaken again.”

“Considering that HUF remains sensitive to global risk aversion, we cannot rule out some periodic correction. For the time being, however, the forint should remain supported and enjoy this moment of peace created by recent central bank actions and global conditions.”

“We expect the forint to return to the 405-410 EUR/HUF range.”