*

Hungary's central bank to slow pace of rate cuts: Reuters

poll

*

India's April business growth at near 14-year high, PMIs

show

*

Czech central bank may cut rates next week, governor says

*

EM stocks up 0.7%; FX adds 0.1%

By Bansari Mayur Kamdar

April 23 (Reuters) - Emerging market stocks extended

gains for their second straight session on Tuesday, while the

Hungarian forint struggled for direction ahead of an interest

rate decision by the National Bank of Hungary (NBH), which is

expected to slow the pace of its monetary policy easing.

The MSCI index for emerging market shares advanced

0.7%, tracking a global recovery after last week's rout as

markets priced out some geopolitical risk related to the Middle

East.

The currencies index inched 0.1% higher as

the dollar eased following its sharp rally on investors

paring bets on Federal Reserve rate cuts and worries about

conflict between Iran and Israel that sparked a rush to safety.

The Hungarian forint was nearly flat against the

euro ahead of the NBH's decision, where it is expected to slow

the pace of rate cuts to 50 basis points amid concern that

inflation could rebound, particularly given recent currency

weakness.

The forint posted its second straight weekly loss on Friday

and has fallen 2.8% against the euro so far this year.

"The prospect of the Fed keeping interest rates high for a

prolonged period of time doesn't bode well for the forint at the

time when the NBH is in an easing mode, reducing the

attractiveness of its currency," said Piotr Matys, senior FX

analyst at In Touch Capital Markets.

Poland's zloty slipped 0.3% after weaker than

expected retail sales data, while the Czech crown edged 0.1% up

against the euro.

The Czech National Bank may cut interest rates when it meets

next week, and it will approach further easing "very cautiously"

after that, Governor Ales Michl said.

The Russian rouble slightly strengthened

against the dollar, while South Africa's rand was

subdued.

China's yuan remained under pressure against the greenback

after its central bank set the official guidance rate at the

weakest level in nearly two months.

Hong Kong's Hang Seng Index extended its rally by

1.9% on boost by technology companies, while China's Shanghai

Composite index and blue-chip CSI300 index

closed the session 0.7% lower each.

Nevertheless, global investment houses are increasingly

bullish about Chinese stocks, driven by resilient corporate

earnings and policy efforts to boost shareholder returns.

In India, a survey showed business activity expanded at its

fastest pace in nearly 14 years this month thanks to robust

demand.

Shares in the South Asian country rose, tracking improving

global mood and strong corporate earnings.

Meanwhile, India's markets regulator found a dozen offshore

funds invested in Adani group companies were in violation of

disclosure rules and in breach of investment limits, two people

with direct knowledge of the matter said on Monday.

In Latin America, Argentine President Javier Milei boasted

on Monday that his government is successfully taming profligate

public spending, touting a rare first quarter surplus that he

argues is key to improving the nation's economic prospects.

HIGHLIGHTS:

** Pakistan refiners warn $6 billion upgrades at risk due to

fuel price deregulation plan

** Swiss report large drop in frozen Russian assets

** Nigeria seeking up to $2.25 bln in World Bank loans