{"id":31043,"date":"2026-03-18T23:00:24","date_gmt":"2026-03-18T23:00:24","guid":{"rendered":"https:\/\/www.vtmarketsglobal.com\/en\/uncategorized\/31043\/"},"modified":"2026-03-18T23:00:24","modified_gmt":"2026-03-18T23:00:24","slug":"ings-frantisek-taborsky-says-cee-currencies-rose-on-risk-appetite-despite-energy-driven-inflation-and-waning-hike-bets","status":"publish","type":"post","link":"https:\/\/www.vtmarketsglobal.com\/en\/live-updates\/31043\/","title":{"rendered":"ING\u2019s Frantisek Taborsky says CEE currencies rose on risk appetite, despite energy-driven inflation and waning hike bets"},"content":{"rendered":"Central and Eastern European currencies have strengthened as global risk appetite improved over the last two days, even while oil and gas prices stayed high. Higher energy prices still point to extra inflation in the region.\n\nSince the start of the US\u2013Iran conflict, markets have reduced the number of policy rate rises priced in across the region from about 2\u20133 to 1\u20132. Trading conditions have steadied and liquidity has improved.\n\n<h3>Market Risks And Near Term Rate Outlook<\/h3>\nFurther tension could still return and cause another sell-off if energy prices jump again, as seen last week. For now, market pricing suggests rate rises are less likely in the near term.\n\nThe Czech National Bank meeting is due tomorrow and the National Bank of Hungary meeting is due next week. Both meetings are expected to push back against expectations of rate increases.\n\nThe article was produced using an artificial intelligence tool and checked by an editor.\n\nGlobal risk sentiment has improved, which is helping currencies in Central and Eastern Europe. We are seeing a pattern similar to the one following the US-Iran conflict in 2025, where bets on central bank rate hikes quickly faded. For traders, this suggests that positioning for further currency strength is the path of least resistance for now.\n\n<h3>Rates Volatility And Trading Conditions<\/h3>\nThe market is scaling back its expectations for interest rate hikes, a move supported by recent data. For instance, Czech inflation cooled to 2.8% in February, bringing it much closer to the central bank&#8217;s target. This gives the Czech National Bank and its regional peers room to hold rates steady, reinforcing the view that hikes are off the table.\n\nWith the VIX, a key measure of market fear, now trading at a calm 14.5, implied volatility in CEE currency options has decreased. This environment is favorable for selling options to collect premium, as long as risk is managed carefully. Traders could consider strategies that benefit from stable exchange rates and low interest rate volatility in the near term.\n\nThe positive sentiment is underpinned by a recovering Eurozone, with the latest ZEW Economic Sentiment index hitting a six-month high of 15.2. This contrasts sharply with the aggressive rate hikes we saw in 2022, when central banks were forced to act against surging energy prices. Right now, the market believes the worst of the inflation threat has passed, allowing this relief rally to continue.\n\n<b><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a>\u00a0and\u00a0<a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a>\u00a0now. <\/b>\n<p>\r\n\r\n<p><strong>Start trading now &#8211; Click <a href=\"https:\/\/www.vtmarketsglobal.com\/en\/trade-now\/\">here<\/a> to create your real VT Markets account <\/strong> <\/p>\r\n<!-- \/wp:post-content -->","protected":false},"excerpt":{"rendered":"<p>Central Eastern European currencies strengthened as risk appetite improved; high energy prices still threaten inflation, limiting rate hikes.<\/p>\n","protected":false},"author":38,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[46],"tags":[],"class_list":["post-31043","post","type-post","status-publish","format-standard","hentry","category-live-updates"],"acf":[],"aioseo_notices":[],"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"josephine","author_link":"https:\/\/www.vtmarketsglobal.com\/en\/author\/josephine\/"},"_links":{"self":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/31043","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/users\/38"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/comments?post=31043"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/posts\/31043\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/media?parent=31043"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/categories?post=31043"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarketsglobal.com\/en\/wp-json\/wp\/v2\/tags?post=31043"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}