Hungary’s Bonds Drop With Forint After Report on Orban’s Plans

Hungary’s dollar bonds and the forint slid after Bloomberg reported that Prime Minister Viktor Orban is exploring the option of switching to a presidential system after a parliamentary election due in April.

The yield on Hungary’s dollar note due in 2055 rose 11 basis points to 6.52%, the highest since September, with bonds in other maturities also among the worst performers across emerging markets. The forint slid as much as 0.8% against euro, before paring losses.