* Recovery in Turkish lira helps currencies and stocks * Czech and Hungarian PMIs surprise on the downside * Polish inflation retreats, no change seen in monetary policies By Sandor Peto BUDAPEST, Oct 1 (Reuters) - Central European currencies and some stocks firmed on Monday as rising risk appetite, helped by the Turkish lira's rebound, offset weak manufacturing PMI data.
Stocks in emerging markets also gained support from a trilateral trade deal in North America.
Warsaw's blue-chip index rose 1.4 percent by 0926 GMT. Budapest's index touched a four-week high before losing some ground. Bucharest rose, though it was off four-month highs set last week, similar to Prague.
Polish and Czech PMI indices for September dropped more than expected from August, with the Polish index at 50.5 and close to the 50 mark that separates economic growth from contraction.
The Hungarian index dropped to 53.8 from 56.
Analysts said the figures added to signs that the region's fast economic growth was shifting to a slower pace. Germany's PMI figures also indicated a slowdown.
Tension over trade between the United States and its main partners weighs on growth prospects for the CEE region, where the automobile industry -- a focus of the dispute -- is a key growth driver, analysts said.
"The Czechs still see a rise in output and orders next year," said Noemi Holecz, analyst at brokerage Equilor. "But business confidence is weakening, they worry over the (global) trade war and fear an erosion in competitiveness, while inflation can also increase costs." The figures are unlikely to lead to any change in monetary policy of the region's central banks, which is loose in Hungary and Poland and hawkish in Prague, analysts said.
Polish flash figures showed a bigger than expected drop in annual inflation in September, to 1.8 percent.
The Czech crown and Poland's zloty gained 0.1 percent against the euro while the Hungarian forint also firmed slightly.
"Sentiment in the currency market is helped by the lira's rebound ... even though the jitters there can, of course, return any time," one Budapest dealer said.
The Romanian leu bucked the trend, easing 0.1 percent to 4.659 versus the euro.
It had rebounded on Friday, partly in late international trade, after a weeks-long slide that took it to three-month lows last Thursday.
"The central bank (NBR) in Romania still seems to have a hand on the exchange rate, fearing that a weak RON (leu) could further fuel inflation woes," Erste analysts said in a note.
"But the latter (while admittedly on a somewhat uncertain path) is expected to slowly ease and thus remove some of the pressure on the NBR to keep the RON at stronger levels." The bank, which twice increased interest rates this year to fight inflation, is due to meet on Wednesday and is expected to keep its 2.5 percent main interest rate unchanged.
CEE SNAPSHOT AT MARKETS 1126 CET CURRENCI ES Latest Previous Daily Change bid close change in 2018 Czech Hungary Polish Romanian Croatian Serbian Note: calculated from 1800 CET daily change Latest Previous Daily Change close change in 2018 Prague 1100.92 1101.920 -0.09% +2.11% 0 Budapest 37084.98 37171.41 -0.23% -5.82% Warsaw 2317.07 2285.11 +1.40% -5.86% Bucharest 8434.23 8412.72 +0.26% +8.78% Ljubljana Zagreb 1783.63 1782.15 +0.08% -3.21% Belgrade Sofia 623.81 624.39 -0.09% -7.92% BONDS Yield Yield Spread Daily (bid) change vs Bund change in Czech spread Republic 2-year 5-year 10-year Poland 2-year 5-year 10-year FORWARD RATE AGREEMEN T 3x6 6x9 9x12 3M interban k Czech Rep 1.97 2.13 2.23 1.72 (PRIBOR= ) Hungary 0.38 0.64 0.92 0.17 Poland 1.77 1.79 1.85 1.72 Note: FRA are for ask prices quotes ************************************************* ************* (Additional reporting by Radu Marinas in Bucharest Editing by David Goodman )