{"id":605102,"date":"2026-08-26T11:30:29","date_gmt":"2026-08-26T11:30:29","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/605102\/"},"modified":"2026-08-26T11:30:29","modified_gmt":"2026-08-26T11:30:29","slug":"hungarian-forint-recovery-tied-to-euro-entry-story-ing","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/605102\/","title":{"rendered":"Hungarian Forint: Recovery tied to euro entry story \u2013 ING"},"content":{"rendered":"<p>ING\u2019s Chris Turner reports that the National Bank of Hungary cut its policy rate by 25bp to 5.50%, with Chief Economist Peter Virovacz seeing a 4.75% terminal rate. The euro entry narrative and a future shift of the inflation target to 2.00% support Hungarian assets, with year-end EUR\/HUF and 10-year yield forecasts at 350 and 4.75%.<\/p>\n<p>Rate cuts and euro convergence theme<\/p>\n<p>&#8220;As expected, the National Bank of Hungary cut its policy rate by 25bp to 5.50% yesterday. ING&#8217;s Chief Economist in Hungary, Peter Virovacz, sees a 4.75% terminal rate here \u2013 although the NBH was providing little forward guidance yesterday.&#8221;<\/p>\n<p>&#8220;Providing broad support for Hungarian assets is <a href=\"https:\/\/www.fxstreet.com\/currencies\/eurusd\" data-fxs-autoanchor=\"\" rel=\"nofollow noopener\" target=\"_blank\">the euro<\/a> entry story. Part of this will be, at some stage, a re-orienting of the inflation target to 2.00% from its current 3.00%.&#8221;<\/p>\n<p>&#8220;We are reminded of the great run enjoyed by South African assets last year when the South African Reserve Bank pushed for a lower inflation target (agreed November 2025) at 3.00% from 4.50% prior.&#8221;<\/p>\n<p>&#8220;We currently have year-end forecasts for EUR\/HUF and ten-year Hungarian Government bond yields at 350 and 4.75% versus levels today at 360 and 5.43%.&#8221;<\/p>\n<p>(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. <a href=\"https:\/\/www.fxstreet.com\/info\/how-fxstreet-uses-ai?utm_medium=internal&amp;utm_source=ai-disclaimer\" rel=\"nofollow noopener\" target=\"_blank\">Know more.<\/a>)<\/p>\n","protected":false},"excerpt":{"rendered":"ING\u2019s Chris Turner reports that the National Bank of Hungary cut its policy rate by 25bp to 5.50%,&hellip;\n","protected":false},"author":2,"featured_media":549478,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[72,113,61,60],"class_list":["post-605102","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-ie","tag-ireland"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/605102","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=605102"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/605102\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/549478"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=605102"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=605102"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=605102"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}