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PRAGUE, Sept 7 (Reuters) - Hungary's forint was the strongest performing central European currency on Wednesday, while the zloty edged up as Poland's central bank was set to continue slowing the pace of interest rate hikes. Central Europe's rate setters were the quickest last year to begin raising interest rates and accelerated the pace of hikes this year as inflation surged, but some are starting to cool or possibly end their tightening cycles. In Poland, analysts expect a 25 basis point (bp) rate rise to 6.75% on Wednesday, down from the 50 bp increase in July, which was already less than markets expected. Commerzbank said the Polish central bank (NBP) was meeting as data showed the economy beginning to "nosedive" in the past couple months, although inflation has accelerated - which could leave rate setters split. "There is unlikely to be much consensus," Commerzbank said. "If the NBP were to minimise the inflation threat and either leave the rate unchanged, or hike by only 25 bps and try to signal that the tightening cycle is now closed ... such signals will put noticeable pressure on the zloty exchange rate." The zloty traded 0.2% up at 4.714 to the euro on Wednesday morning, testing highs last seen in mid-August. A monthly Reuters poll saw the zloty gaining 1.5% in the next 12 months, although Hungary's forint was expected to lead gains once the government can settle rule-of-law disputes with the European Union and free up EU recovery funds. The forint rose 0.5% on Wednesday, with a thinner market helping exaggerate gains. The currency has been the hardest hit this year in central Europe as an EU energy crisis rattles investors and raises economic risks. "It is easy to move the rate when trade volumes are so low. Gas prices are somewhat lower than they were at yesterday's close, which could be one reason for the forint's firming," a trader said. Elsewhere, stock markets pushed higher, bucking falls seen elsewhere in Europe, while bond yields fell in central Europe. The Czech crown was steady after retail sales data showed soaring inflation was hitting consumers. Romania's leu fell back almost 0.3%. The currency has been the strongest performer in the region in the past months but a Reuters poll saw it reversing course over the next year to weaken over 3%. CEE SNAPSHO AT MARKETS T 1106 CET CURRENC IES Latest Previou Daily Change s bid close change in 2022 EURCZK Czech EURHUF Hungary 0 0 EURPLN Polish EURRON Romanian EURHRK Croatian EURRSD Serbian 0 0 Note: calculated from 1800 daily CET change Latest Previou Daily Change s close change in 2022 .PX Prague 1145.75 1137.91 +0.69% #VALUE! 00 .BUX Budapest 41119.5 40851.2 +0.66% -18.93% 9 4 .WIG20 Warsaw <.WIG20 1452.24 1452.86 -0.04% -35.94% > .BETI Buchares 12040.8 12055.2 -0.12% -7.81% t 0 2 .SBITO Ljubljan <.SBITO 1083.62 1092.28 -0.79% -13.69% P a P> .CRBEX Zagreb <.CRBEX 1982.55 1984.32 -0.09% -4.66% > .BELEX Belgrade <.BELEX 852.00 855.70 -0.43% +3.80% 15 15> .SOFIX Sofia <.SOFIX 608.18 609.60 -0.23% -4.33% > Yield Yield Spread Daily (bid) change vs Bund change in Czech spread Republic CZ2YT= 2-year s CZ5YT= 5-year s CZ10YT s Poland PL2YT= 2-year s PL5YT= 5-year s PL10YT s FORWARD 3x6 6x9 9x12 3M interba nk Czech Hungary Poland Note: are for ask FRA prices quotes ******************************************** ****************** (Reporting by Jason Hovet in Prague Editing by Mark Potter)