Hungary Likely to Cut Rates as Forint Gains and Inflation Slows

Hungary's central bank is expected to cut its benchmark interest rate by a quarter point to 6% due to slowing inflation and a strengthening forint. This move diverges from the tightening stance of some other global central banks, including the European Central Bank. The decision is supported by inflation falling to 1.8% and the forint's 9% gain against the euro this year, which helps curb imported price pressures.

• •Hungary's central bank likely to cut rates.
• •Inflation has slowed to 1.8% in Hungary.
• •The Hungarian forint has strengthened significantly.