* Stocks fall on Trump travel restrictions * Romania delays 2017 budget again * Czech crown may strengthen further By Sandor Peto and Luiza Ilie BUDAPEST/BUCHAREST, Jan 30 (Reuters) - Central European assets fell on Monday after U.S. President Donald Trump's bans on travel to the United States weakened risk appetite throughout global markets.
The forint and the zloty eased 0.1 percent against the euro by 0922 GMT.
Budapest led losses in equities, with its main index shedding 0.5 percent. It remains near record highs hit earlier this month. The Warsaw and Bucharest indices also fell but stayed close to their highest levels since 2015.
Government bond yields also climbed, tracking a rise in Bunds after January figures indicated a pick-up in German inflation.
The yield on Polish 10-year government bonds rose 2 basis points to 3.82 percent, near their highest level since May 2014.
"The environment for the bond market is poor. On the one hand, inflation is growing, on the other hand, PMIs suggest a nearly worldwide economic growth," said Konrad Augustynski, head of bond trading at TFI PZU, according to the business newspaper Parkiet.
The yield on Romanian three-year debt rose 6 basis points amid uncertainty over Romania's 2017 budget. On Friday, the government delayed approving public spending plans for 2017 for the second time in three days.
Without additional measures, it is unlikely the government can keep its deficit below the European Union's ceiling, 3 percent of gross domestic product, analysts said.
Such measures "could focus on improving revenues via some tax hikes which would likely not target consumers ... and/or significantly lowering capex expenditures from already subdued levels," ING analysts said in a note.
Czech bonds bucked the regional trend. Their ultra-low yields dropped further, with two-year bonds trading at -0.856 percent, below the corresponding Bund yield.
Demand for Czech assets has been buoyed by expectations the crown will gain after the central bank ends its policy of keeping the currency's value weaker than 27 crowns to the euro. The policy is likely to end this year.
The crown may gain again after PMI economic activity data are released in Europe on Wednesday and the Czech central bank's meeting on Thursday, analysts said.
CEE SNAPS AT 1022 MARKETS HOT CET CURRENCIES Lates Previ Daily Chang t ous e bid close chang in e 2017 Czech crown 27.02 27.02 +0.0 -0.06 30 20 0% % Hungary 311.4 311.2 -0.05 -0.84 forint 300 850 % % Polish 4.333 4.330 -0.07 1.62% zloty 5 4 % Romanian 4.504 4.504 +0.0 0.69% leu 1 2 0% Croatian 7.473 7.481 +0.1 1.10% kuna 0 5 1% Serbian 123.8 123.9 +0.1 -0.40 dinar 500 800 0% % Note: daily calculate previ close 1800 change d from ous at CET STOCK S Lates Previ Daily Chang t ous e close chang in e 2017 Prague 937.5 936.8 +0.0 +1.7 9 9 7% 3% Budapest 32559 32714 -0.47 +1.7 .37 .58 % 4% Warsaw 2076. 2084. -0.37 +6.5 31 05 % 9% Bucharest 7488. 7495. -0.10 +5.6 21 74 % 9% Ljubljana 741.7 744.3 -0.35 +3.3 2 6 % 6% Zagreb 2113. 2108. +0.2 +5.9 69 89 3% 6% Belgrade 0 2 3% % Sofia 609.6 610.1 -0.07 +3.9 9 0 % 7% BONDS Yield Yield Sprea Daily d (bid) chang vs chang e Bund e in Czech sprea Republic d 2-year 6 3 ps 5-year 5 2 bps 10-year 4 ps Poland 2-year bps s 5-year bps s 10-year bps FORWARD RATE AGREEMENT 3x6 6x9 9x12 3M inter bank Czech Rep < 0.24 0.22 0.23 0 PRIBOR=> Hungary < 0.31 0.39 0.47 0.25 BUBOR=> Poland < 1.765 1.81 1.89 1.73 WIBOR=> Note: FRA are for quotes ask prices ************************************************** ************ (Additional reporting by Lidia Kelly in Warsaw, editing by Larry King)