*

Hungary's government slashes growth forecast

*

U.S. JOLTS data awaited

*

IMF to update its World Economic Outlook

*

MSCI EM FX, stocks indexes off 0.3% each

By Purvi Agarwal and Ankita Yadav

July 29 (Reuters) - Most emerging market currencies fell

against a stronger dollar on Tuesday while stocks were mixed as

investors awaited a slate of upcoming economic data, while the

U.S. tariff deadline drew closer.

MSCI's gauge tracking emerging market currencies

fell 0.3% to its lowest level since late June,

in a third session of declines.

The dollar index rose 0.2%, hovering near its

five-week high, after surging 1% in the previous session.

Markets rewarded the greenback after the United States

clinched a key trade deal with the European Union days ahead of

the August 1 deadline, while talks with China continued.

Most currencies in Asia weakened against the dollar, and so

did South Africa's rand, which fell 0.4% and was on track

for its fourth session of losses. Turkey's lira was

little changed.

Currencies in emerging Europe weakened against the euro, as

optimism over trade deals faded, with investors concerned about

its implication for Europe.

The Hungarian forint was down 0.8% and set for its

steepest one-day decline since April 11. The government slashed

its 2025 growth forecast to 1%, down from 2.5%, prolonging a

recovery from a 2022 inflation surge.

Poland's zloty slipped 0.4%. Its prime minister

said that U.S. tariffs on European products could cost Poland

around 8 billion zlotys ($2.16 billion), per preliminary

estimates.

Russia's rouble fell 1.3% against the dollar,

over-the-counter market data showed, a day after Trump shortened

his deadline for Russia to end its war in Ukraine or face

tariffs.

Trump on Monday said that trading partners that do not

negotiate separate deals would soon face tariffs between 15% to

20%, well above the previously threatened 10%.

Emerging markets have found themselves in the crosshairs of

Trump's tariffs, with duties threatened on Brazil, Mexico, the

BRICS group of which Brazil and South Africa are members, and

many Asian countries.

"We will settle with just over 15% tariffs... while negative

from a macro point of view, the world can live with these levels

of tariffs," said Mohit Kumar, chief European economist at

Jefferies.

"Eventually, it boils down to the data and we could see

weakening in August data."

The impact of tariffs has started to show in U.S. inflation

data, and investors will scrutinize economic data scheduled

through the week for more such signs.

Regional stocks were broadly higher, with Poland

and Romania bouncing back 1% and 0.2% respectively,

while South African stocks were up 0.6%.

Still, MSCI's index tracking global EM stocks was

down 0.3%, with declines in some heavyweight Asian stocks

weighing.

Also due on the day is the International Monetary Fund's

outlook on the global economy.

HIGHLIGHTS:

** Indonesia's FDI drops 6.95% y/y in Q2, biggest fall since

2020

** Bank of Korea board members saw more interest rate cuts

necessary, minutes show

** Turkey's gross reserves rebound amid tight monetary

policy

For TOP NEWS across emerging markets

For CENTRAL EUROPE market report, see

For TURKISH market report, see

For RUSSIAN market report, see