Nervous Markets Ahead of Nvidia Earnings Amid Eastern European Currency Slide

Central and Eastern European currencies faced declines on Wednesday as global markets showed caution ahead of Nvidia's anticipated earnings report. This key report is expected to influence near-term global risk sentiment.

The Hungarian forint weakened for the second consecutive day, while Budapest equities remained flat. This followed the central bank's decision to maintain interest rates at an EU-high of 6.5% for the 11th month. In Warsaw, the Polish zloty dipped after two days of gains, although stocks edged up by 0.3%, marking a potential three-day winning streak, the longest in almost a month.

As geopolitical tensions between Russia and Ukraine continue with little progress toward peace, Ukraine's sovereign dollar bonds took a hit. Global investors keenly await Nvidia's earnings following the U.S. market close, with the AI giant's performance pivotal in sustaining the tech rally.

(With inputs from agencies.)