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Poland Natural Gas Deal Further Diversifies Energy Import Mix

HUNGARY
  • Industrial Production data came in ahead of expectations, with the WDA Y/Y measure for July at -2.5% vs. exp. -6.4%. M/M grew at 2.8%, up from the prior revised to -0.7%.
  • Following an agreement on gas flows earlier in the week from Azerbaijan, Hungary have reached a political agreement on potential gas deliveries from Gdansk’s new terminal in Poland. The foreign minister celebrated the agreement as showing further diversification of gas supply for Hungary, with agreements already in place with Qatar and Turkey. The technical details (and pricing) of the agreement with Poland are yet to be finalized.
  • CPI data crosses Friday, with markets expecting inflation to slow to 16.3% from 17.6% on a Y/Y basis.

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