Magyar Nemzeti Bank
A Seventh Straight Hungarian Central Bank Interest Rate Cut
April 23, 2024
The Central Bank of Hungary’s base rate has been lowered 50 basis points to 7.75% in a continuing normalization of monetary policy. The latest and expected reduction brings the cumulative decreases to 300 basis points since end-2024 and 525 basis points since October. Consumer price inflation in Hungary has receded from as much as 25.7% […] More
Interest Rate Hike in Hungary Largest So Far
July 12, 2022
The National Bank of Hungary’s interest rate has been raised by another two percentage points to 9.75%. There have been fourteen straight monthly increases, including a move of 185 basis points in June, and July’s increment was the largest of the bunch. Before tightening began in June 2021, the rate have been at 0.60%. Hungary […] More
Magyar Nemzeti Bank Tightens Hungarian Monetary Policy Stance Further
February 22, 2022
Hungary’s central bank policy interest rate has been raised by another half percentage point to 3.4%, matching the increase done in January. From a base of 0.60% through May 2021, the rate was raised in each of the final seven months of last year by a combined 180 basis points. CPI inflation accelerated from 2.2% […] More
Dollar Marking Time as Two-Day FOMC Meeting Commences
December 14, 2021
The dollar remained unchanged on balance overnight against the euro, Swiss franc, kiwi, yuan and versus its weighted DXY index. The greenback ticked 0.1% higher relative to the yen and loonie and 0.1% lower vis-a-vis sterling. A two-day meeting of the FOMC began in which policymakers are expected to accelerate previously signaled plans to taper […] More
A Sixth Hungarian Central Bank Rate Hike
November 16, 2021
Magyar Nemzeti Bank’s base rate was raised 30 basis points today to 2.1%. The increase and its size matched expectations. This cycle of gradual increases began in June, hasn’t missed a month, and thus far totals 150 basis points. More tightening is to be expected, as officials served notice that projected inflation in 2022 will […] More
Flat Dollar Ahead of Emergency G7 Leaders Meeting
August 24, 2021
Dollar rates against the euro, yen, Swiss franc and DXY weighted index are unchanged from Monday closing levels. The U.S. currency has not done as well against commodity-sensitive currencies, falling by 0.7% versus the kiwi, 0.5% against the Australian dollar, 0.2% vis-a-vis the loonie, and 0.1% versus the Chinese yuan and Mexican peso. One currency […] More
Interest Rate Hikes in Hungary and Kyrgyzstan
July 27, 2021
A 30-basis point increase in the National Bank of Hungary’s base rate to 1.2% was larger than what analysts were predicting and represents the second such hike in a month. Magyar Nemzeti Bank’s overnight deposit rate was increased from -0.05% to +0.25%. The base rate level is now at its highest level since early 2016. […] More
China Remains in the Spotlight
July 27, 2021
The Shanghai Composite equity index fell 2.3% on Monday and another 2.5% on Tuesday reflecting the deteriorating relationship between the Chinese and U.S. governments and investor fears over intensifying Sino regulations constricting the business activities of foreign companies. Hong Kong’s Hang Seng index has taken an even bigger blow, dropping 1.5% last Friday, 4.1% yesterday […] More
Watching Stocks, Long-Term Interest Rates, and Events on Capitol Hill
February 23, 2021
Futures trading on the Nasdaq, which fell over 300 points yesterday, are down an additional 1.4% this Tuesday. The half-percentage point rise in the U.S. ten-year Treasury yield since mid-December reflects speculation that inflation and growth may be stronger than assumed later this year but not so much so as to provoke the Fed into […] More
Hungary’s Central Bank Rate Left at 0.60%, But Officials Warn of Chance that Covid Delivers a Second Blow
August 25, 2020
There’s little remarkable in today’s Hungarian Monetary Council decision to leave its central bank base rate unchanged at 0.90%. To counter economic damage from the Covid-19 pandemic, officials engineered rate cuts of 15 basis points each at their policy reviews in June and July. Also CPI inflation rose in Hungary to 3.8% last month a […] More
