IDEAS home Printed from https://ideas.repec.org/p/mnb/wpaper/2026-3.html

Sentiment-based Financial Stress Index for Hungary

Author

Listed:
  • Beáta Horváth

    (Magyar Nemzeti Bank (Central Bank of Hungary))

  • Tamás Berki

    (Magyar Nemzeti Bank (Central Bank of Hungary))

  • Lívia Réka Ónozó

    (Magyar Nemzeti Bank (Central Bank of Hungary))

  • Csanád Temesvári

    (Magyar Nemzeti Bank (Central Bank of Hungary))

Abstract

This paper proposes a sentiment-based financial stress indicator for Hungary based on occurrence of financial crisis related terms and explores its relationship with macrofinancial variables related to financial uncertainty. Sentiment analysis was conducted on textual data from two major Hungarian news portals covering the period from 2005 to 2020. The terms used in the analysis carry negative connotations, making them suitable for capturing financial instability and stress. The index successfully identifies stress periods that are not adequately reflected by other available sentiment indices related to Hungary. Overall, we propose a novel type of index that enables timely, even real-time monitoring of financial stress situation in Hungary across different time frequencies.

Suggested Citation

  • Beáta Horváth & Tamás Berki & Lívia Réka Ónozó & Csanád Temesvári, 2026. "Sentiment-based Financial Stress Index for Hungary," MNB Working Papers 2026/3, Magyar Nemzeti Bank (Central Bank of Hungary).
    • Handle: RePEc:mnb:wpaper:2026/3
    as

    Download full text from publisher

    File URL: https://www.mnb.hu/letoltes/mnb-wp-2026-3-final.pdf
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
    • G01 - Financial Economics - - General - - - Financial Crises

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mnb:wpaper:2026/3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Lorant Kaszab The email address of this maintainer does not seem to be valid anymore. Please ask Lorant Kaszab to update the entry or send us the correct address (email available below). General contact details of provider: https://edirc.repec.org/data/mnbgvhu.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.